The Fifth Circuit vacates a final judgment entered by the District Court, in which the District Court partially vacated an arbitration panel’s final award. Reversing the District Court, the Fifth Circuit concludes that because the party challenging the award failed to carry its burden to show that the arbitration panel was not even arguably interpreting the Maintenance Agreement, its construction holds “however good, bad, or ugly.” In the Court’s view, the panel’s award suggested that it was interpreting the Maintenance Agreement. Citing the Seventh Circuit, the Court stresses, “the question for decision by a federal court asked to set aside an arbitration award  is not whether the arbitrator or arbitrators erred in interpreting the contract; it is not whether they clearly erred in interpreting the contract; it is not whether they grossly erred in interpreting the contract; it is whether they interpreted the contract.”
Hill v. Norfolk & W. Ry. Co., 814 F.2d 1192, 1194-95 (7th Cir. 1987).
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