Can an arbitration clause adopted today require arbitration of a dispute that arose before the clause existed? In Deshmukh v. Kasowitz Benson Torres LLP, 2026 N.Y. Slip Op. 06550 (1st Dept. Nov. 10, 2026), the Appellate Division, First Department confronted that question in an unusual circumstance involving a law firm partner who left the firm, later returned, and became subject to a new partnership agreement containing an arbitration provision.

By Jeffrey M. Haber Business owners hate litigation. In fact, there are few things they hate more. Litigation damages relationships, tarnishes reputations, and interferes with business operations. Even small claims divert time, money and talent. So, how can corporations and small businesses avoid these costs and expenses? The answer: alternative dispute resolution, such as arbitration and mediation. Over the past few decades, it has become commonplace for corporations and sma