Malko Breaks Down the Blue Pencil Doctrine’s Role in Arbitration Agreements
Severability clauses are important contractual provisions that help ensure a single mistake will not invalidate an entire contract. As the cases discussed above demonstrate, there are two important takeaways when considering the applicability of a severability clause to arbitration agreements. First, it is well-accepted that the blue pencil doctrine can be applied to arbitration clauses to strike some unenforceable provisions while still requiring arbitration. Second, the more parts of an arbitration clause the court finds unenforceable, the less likely the court is to apply that doctrine.
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