BREACH OF CONTRACT
Franceschi v. Hosp. Gen. San
Carlos, Inc., Nos. 04-2104, 04-2105 (1st Cir. Aug. 24, 2005)
A radiologist brought suit against his former hospital-employer seeking damages
for breach of contract. The dispute arose over an interpretation of how the radiologist
would be compensated under his employment contract. Before the trial began, the
hospital requested arbitration based on a provision in the contract, but was
rebuffed by the district court. The district court later awarded the radiologist
damages and, on appeal, the hospital again argued the employment contract required
mandatory arbitration. The circuit court dismissed the hospital’s argument,
stating that because the hospital did not file an interlocutory appeal when it
was denied arbitration by the district court, as permitted under the Federal
Arbitration Act, the hospital had forfeited the right to arbitration.