Universal Underwriters Insurance v. Shuff

I find the doctrine of res judicata inapplicable to this case. We do not deal with the effect of a prior judgment on a later court action, but the effect of a prior lawsuit on contractual rights. See AutoOwners Ins. Co. v. Higby (1976), 69 Mich. App. 485, 245 N.W. *1762d 102, and Farm Bureau Mutual Ins. Co. v. Bower (1978), 87 Mich. App. 305.1 find no authority for the proposition that the principle of res judicata applies to nullify or control arbitration provisions in a contract.

Issues decided in a legal action are not binding upon the arbitrators in an arbitration proceeding between the same…