Orthopedic Physical Therapy Center (Orthopedic) entered into an oral agreement with Sports Therapy Centers, Ltd. (Sports) providing that Sports would take over Orthopedic’s day-to-day management responsibilities of its therapy facilities in Bangor and Augusta. Thereafter, the parties entered into a written contract that Orthopedic alleges incorporated the earlier oral agreement.
Orthopedic filed a complaint against both Sports and its chief executive officer, Christopher Harkins, alleging breach of contract, both oral and written, breach of fiduciary duty, fraud, conversion, negligence, and tortious interference with prospective advantage. Both defendants claimed in their answers that the court lacked personal jurisdiction over them, and then moved to stay the proceedings and to compel arbitration pursuant to the arbitration clause of the written contract, which provided:
*403 ARBITRATION: Any and all disputes arising out of, under, in connection with or in relation to this Agreement may be settled by arbitration in the Commonwealth of Virginia before the American Arbitration Association in accordance with its rules then obtaining and judgment upon the aware [sic, award] rendered may be entered in any court having jurisdiction thereof.
The Superior Court (Kennebec County, Mead, J.) denied the defendants’ motion on the basis that the use of the word “may” in the arbitration clause made arbitration permissive rather than mandatory. Thus, any party to the agreement could avoid arbitration. We vacate the judgment and direct the entry of an order to compel arbitration.
I.
As a threshold matter, we address the personal jurisdiction issue. In
Donn-Griffin v. Donn,
II.
The defendants contend that the trial court erred by interpreting the word “may” in the arbitration clause as permissive in that both parties must agree to the arbitration. We review that question of law
de novo. See Granger Northern, Inc. v. Cianchette,
We have recognized the policy in Maine, and elsewhere, favoring arbitration.
See Cape Elizabeth School Bd. v. Cape Elizabeth Teachers Ass’n,
III.
Orthopedic’s argument that the trial court was correct in denying the defendants' motion to compel arbitration because its claims are outside the scope of this arbitration clause is addressed to the wrong forum. It is the arbitrator who should first decide the scope of arbitration pursuant to the contract. Although we have held that “the final decision on the question of substantive arbitrability is the function of the court, not the arbitrator,”
Westbrook School Comm.,
The entry is:
Judgment vacated.
Remanded to the Superior Court with an instruction to enter an order to stay its proceeding and to compel arbitration.
