Associated Claims Management lost a round in a suit against it brought by St. Jude Hospital yesterday when a California Court of Appeals ruled that the case does not belong in arbitration, stating that the matter did not involve interstate commerce and was thus outside of the jurisdiction of the Federal Arbitration Act.St. Jude had hired Associated to administer the hospital's workers'
compensation claims. The parties executed a contract containing an arbitration provision,
which states, "Any controversy arising out of, or relating to this Agreement . . . shall be
settled by arbitration . ....
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