93 N.Y.2d 132 (1999)

In public sector labor disputes, courts should compel arbitration if there is a reasonable relationship between the subject matter of the dispute and the collective bargaining agreement (CBA); the arbitrator then determines the precise scope of the CBA’s provisions.

Summary

This case clarifies the role of courts in public sector arbitration disputes under New York’s Taylor Law. The Watertown and Indian River school districts sought to stay arbitration of grievances filed by their respective education associations after the districts’ health insurance plan increased employee co-payments. The Court of Appeals held that the disputes were arbitrable because a reasonable relationship existed between the grievance (health insurance benefits) and the CBAs. The court emphasized that merits of the dispute are for the arbitrator, not the court, to decide, and that an anti-arbitration presumption in public sector cases is no longer justified.

Facts

The Watertown City School District and the Indian River Central School District (the