In re the Arbitration between Knickerbocker Textile Corp. & Leifer Manufacturing Corp.

The unanimous award of three arbitrators has been set aside on the ground that one of the arbitrators was legally disqualified to serve. The arbitrator had previously been convicted for violation of the regulations of the Office of Price Administration and sentenced to fine and imprisonment. His offense was a misdemeanor and malum prohibitum only. Neither of the parties knew of the conviction, nor did the arbitrator volunteer to disclose it. The losing party first learned of it after the award by making inquiry of a commercial credit agency concerning the arbitrator. There is no proof that…