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MOSCATIELLO v. HILLIARD

939 A.2d 325 (2007)

Franco MOSCATIELLO and Antionetta Moscatiello, Appellants v. J.J.B. HILLIARD, W.L. Lyons, Inc., and Michael E. Kelms and Edmund Kosakowsky, Individually and as Employees and Agents Thereof, Appellees.

Supreme Court of Pennsylvania.

Decided December 27, 2007.

Attorney(s) appearing for the Case

Arnold Yale Steinberg, Pittsburgh, for Franco Moscatiello and Antionetta Moscatiello, appellants.

Scott R. Leah, Richard B. Tucker, III, Tucker Arensberg, Pittsburgh, for J.J.B. Hilliard, W.L. Lyons, Inc., et al.

BEFORE: CAPPY, C.J., CASTILLE, SAYLOR, EAKIN, BAER, BALDWIN and FITZGERALD, JJ.

OPINION

Justice EAKIN.

Appellants invested $1.5 million in a single mutual fund managed by appellees. Appellants signed customer agreements with appellees containing an arbitration clause and a choice of law provision. The arbitration clause stated any disputes would be settled in arbitration under National Association of Securities Dealers (NASD) rules, which the Federal Arbitration Act (FAA), 9 U.S.C. § 1 et seq., governs. The choice...

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