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- SUPREME COURT OF THE UNITED STATES
- --------
- No. 93-1001
- --------
- ALLIED-BRUCE TERMINIX COMPANIES, INC.,
- and TERMINIX INTERNATIONAL COMPANY,
- PETITIONERS v. G. MICHAEL
- DOBSON et al.
- on writ of certiorari to the supreme court
- of alabama
- [January 18, 1995]
-
- Justice O'Connor, concurring.
- I agree with the Court's construction of 2 of the
- Federal Arbitration Act. As applied in federal courts,
- the Court's interpretation comports fully with my
- understanding of congressional intent. A more restric-
- tive definition of -evidencing- and -involving- would
- doubtless foster prearbitration litigation that would
- frustrate the very purpose of the statute. As applied in
- state courts, however, the effect of a broad formulation
- of 2 is more troublesome. The reading of 2 adopted
- today will displace many state statutes carefully cali-
- brated to protect consumers, see, e. g., Mont. Code Ann.
- 27-5-114(2)(b) (1993) (refusing to enforce arbitration
- clauses in consumer contracts where the consideration is
- $5,000 or less), and state procedural requirements aimed
- at ensuring knowing and voluntary consent, see, e. g.,
- S. C. Code Ann. 15-48-10(a) (Supp. 1993) (requiring
- that notice of arbitration provision be prominently placed
- on first page of contract). I have long adhered to the
- view, discussed below, that Congress designed the
- Federal Arbitration Act to apply only in federal courts.
- But if we are to apply the Act in state courts, it makes
- little sense to read 2 differently in that context. In the
- end, my agreement with the Court's construction of 2
- rests largely on the wisdom of maintaining a uniform
- standard.
- I continue to believe that Congress never intended the
- Federal Arbitration Act to apply in state courts, and
- that this Court has strayed far afield in giving the Act
- so broad a compass. See Southland Corp. v. Keating,
- 465 U. S. 1, 21-36 (1984) (O'Connor, J., dissenting); see
- also Perry v. Thomas, 482 U. S. 483, 494-495 (1987)
- (O'Connor, J., dissenting); York International v. Ala-
- bama Oxygen Co., 465 U. S. 1016 (1984) (O'Connor, J.,
- dissenting from remand). We have often said that the
- pre-emptive effect of a federal statute is fundamentally
- a question of congressional intent. See, e. g., Cipollone
- v. Liggett Group, Inc., 505 U. S. ___, ___ (1992) (slip op.,
- at 8-10); English v. General Electric Co., 496 U. S. 72,
- 78-79 (1990); Schneidewind v. ANR Pipeline Co., 485
- U. S. 293, 299 (1988); Rice v. Santa Fe Elevator Corp.,
- 331 U. S. 218, 230 (1947). Indeed, we have held that
- -`[w]here . . . the field which Congress is said to have
- pre-empted' includes areas that have `been traditionally
- occupied by the States,' congressional intent to supersede
- state laws must be `clear and manifest.'- English,
- supra, at 79, quoting Jones v. Rath Packing Co., 430
- U. S. 519, 525 (1977). Yet, over the past decade, the
- Court has abandoned all pretense of ascertaining
- congressional intent with respect to the Federal Arbitra-
- tion Act, building instead, case by case, an edifice of its
- own creation. See Perry v. Thomas, supra, at 493
- (Stevens, J., dissenting) (-It is only in the last few
- years that the Court has effectively rewritten the statute
- to give it a pre-emptive scope that Congress certainly
- did not intend-). I have no doubt that Congress could
- enact, in the first instance, a federal arbitration statute
- that displaces most state arbitration laws. But I also
- have no doubt that, in 1925, Congress enacted no such
- statute.
- Were we writing on a clean slate, I would adhere to
- that view and affirm the Alabama court's decision. But,
- as the Court points out, more than 10 years have passed
- since Southland, several subsequent cases have built
- upon its reasoning, and parties have undoubtedly made
- contracts in reliance on the Court's interpretation of the
- Act in the interim. After reflection, I am persuaded by
- considerations of stare decisis, which we have said -have
- special force in the area of statutory interpretation,-
- Patterson v. McLean Credit Union, 491 U. S. 164,
- 172-173 (1989), to acquiesce in today's judgment.
- Though wrong, Southland has not proved unworkable,
- and, as always, -Congress remains free to alter what we
- have done.- Ibid.
- Today's decision caps this Court's effort to expand the
- Federal Arbitration Act. Although each decision has
- built logically upon the decisions preceding it, the initial
- building block in Southland laid a faulty foundation. I
- acquiesce in today's judgment because there is no
- -special justification- to overrule Southland. Arizona v.
- Rumsey, 467 U. S. 203, 212 (1984). It remains now for
- Congress to correct this interpretation if it wishes to
- preserve state autonomy in state courts.
-