OPINION AND ORDER
This is a diversity action for declaratory and injunctive relief filed on September 30, 1985 by Sea-Land Service, Inc., a Delaware corporation engaged in the business of ocean transportation of goods, and defendant Sea-Land of Puerto Rico, Inc., a Puerto Rican corporation which was mainly engaged in the solicitation of freight on behalf of plaintiff. In essence, plaintiff seeks a declaration that the Sales Agreement with defendant is not subject to Puerto Rico’s Dealers Law,
P.R. Laws Ann.,
title 10 section 278,
et seq.
(Law 75), that the agreement be declared resolved and an accounting made, and that defendant be enjoined from seeking any further duty or right under the agreement. It also requested an order compelling arbitration, pursuant to the agreement’s arbitration clause and that termination be found to be with just cause, if it were determined that
With its petition for declaratory judgment, plaintiff filed a Motion Requesting Order Compelling Arbitration seeking stay of this action and arbitration pursuant to clause 16 of the Sales Agreement. It is argued that the agreement is a contract involving commerce and that arbitration clauses in contracts of this type should be enforced according to the Federal Arbitration Act. Defendant’s position on the arbitration issue is stated in the memoranda of law in support of the temporary restraining order and of the preliminary injunction petitions and in its reply to plaintiff’s supplemental memorandum. Defendant does not dispute that the contract affects commerce, within the meaning of the Federal Arbitration Act. It has not raised any specific issue of fact which would preclude resolving the arbitration issue without a hearing nor has it requested a hearing. 2 Its challenge to arbitration is twofold. It questions plaintiff’s right to seek enforcement of the arbitration clause claiming that, by filing the instant action and canceling the agreement without first initiating arbitration, it waived any rights under the clause. Alternatively, it argues that the arbitration clause cannot be construed to include as arbitrable several of the claims because the language in the clause limits arbitration to disputes arising from breaches of the contract or its essential obligations. It contends that neither the issues of whether defendant is a “dealer” or whether the termination of the agreement violated the Dealer’s Law nor the tort claim of interference with defendant’s telephone communications can be submitted to arbitration for they are “clearly outside the realm of any .breach of contract” question. Defendant’s position, noticeably devoid of citations, is not supported by federal law.
The Federal Arbitration Act, 9 U.S.C. Section 1,
et seq.,
applicable to the contract involved in this case, makes a written agreement to arbitrate “valid, irrevocable and enforceable, save for such grounds as exist at law or in equity for the revocation of contract.”
Id.,
at section 2. The Supreme Court has admonished that, since the Act evinces Congress’ concern in enforcing private contractual arrangements
‘questions of arbitrability must be addressed with a healthy regard for the federal policy favoring arbitration____ The Arbitration Act establishes that, as a matter of federal law, any doubts concerning the scope of arbitrable issues should be resolved in favor of arbitration, whether the problem at hand is the construction of the contract language itself or an allegation of waiver, delay, or a like defense to arbitrability.’
[citations] ... as with any other contract, the parties’ intentions control, but those intentions are generously construed as to issues of arbitrability.
Mitsubishi,
The arbitration clause here in question provides:
16. Arbitration
Any differences and disputes concerning the breach of essential obligations arising out of this Agreement shall be referred to the arbitration of a single arbitrator, if Carrier and Contractor shall agree upon one, or to the arbitration of two arbitrators, one each to be appointed by the Carrier and Contractor, and an Umpire to be appointed by the arbitrators so named. Such arbitration shall be subject to the provisions of the Rules of Arbitration of the International Chamber of Commerce as amended, and shall take place in Miami, Florida, U.S.A.
Defendant’s attempt to distinguish this clause from the one in
Mitsubishi
because there the clause referred to “disputes, controversies or differences which may arise ... out of or in relation to Articles I-B through V ... or for breach thereof,” whereas here the clause only mentions “differences and disputes concerning the breach of essential obligations arising out of this Agreement” represents a strained interpretation and a sophistical argument. Its conclusion that clause 16 limits arbitra
Its argument that Law 75 issues cannot be submitted to arbitration because they are unrelated to the agreement is equally unsound. It appears to be a clever reconstruction of the argument advanced by the Puerto Rican automobile dealer that was rejected by the federal appellate courts in
Mitsubishi.
A reading of defendant’s counterclaim and of its Law 75 defenses reveals that its position on non-arbitration of these claims is self-defeating. The affirmative defenses mention the sales agreement as “speaking for itself” and as having been breached by its unilateral termination in violation of Law 75. Twenty-one paragraphs of the twenty-five paragraph counterclaim which assert the rights provided by the Dealer’s Law all refer in one way or another to the sales agreement. There are more than thirteen references to the sales agreement and specific provisions thereof in the first eleven pages of defendant’s memorandum of October 9, 1985 where it argues for the application of Law 75. It is impossible to reconcile defendant’s position in this case with its contention that Law 75 issues are not differences or disputes regarding breaches of the essential obligations arising out of the agreement. As defendant’s own pleadings well establish it is precisely on this sales agreement that the parties’ relationship rests and it is on this relationship that defendant bases its argument that it is a dealer within the meaning of the law
4
and that the relation
With respect to the claim of tortious interference with defendant’s communications center, it should initially be noted that the First Circuit has rejected the labeling of controversies arising out of or related to the contract subject to arbitration so as to exclude them from the scope of arbitration.
Acevedo Maldonado v. PPG Industries, Inc.,
Finally, defendant’s contention that plaintiff waived the right to seek arbitration by filing this action has no support in the record or the applicable law. Waiver of arbitration is not lightly inferred.
Id.
Although we understand that plaintiff’s motion to compel arbitration must be granted, we do not believe the proper course is to stay the action pending arbitration. Given our ruling that all issues raised in this action are arbitrable and must be submitted to arbitration, retaining jurisdiction and staying the action will serve no purpose. Any post-arbitration remedies sought by the parties will not entail renewed consideration and adjudication of the merits of the controversy but would be circumscribed to a judicial review of the arbitrator’s award in the limited manner prescribed by law.
See
9 U.S.C. sections 9-12;
Amicizia Societa Navegar zione v. Chilean Nitrate & Iodine Sales Corp.,
Accordingly, the court RULES as follows. Plaintiff’s Motion Requesting Order Compelling Arbitration filed September 30, 1986 and that part of the Petition for Declaratory Relief requesting a declaration that its dispute with defendant regarding the termination of the sales agreement is arbitrable is hereby GRANTED. The Court hereby DECLARES that all issues, claims and defenses raised in this action are subject to arbitration, pursuant to Clause 16 of the Sales Agreement between the parties. The court hereby ORDERS the parties to submit to arbitration, pursuant to Clause 16 of the Sales Agreement, all disputes and differences arising from the termination of said agreement, including all claims, defenses and issues raised in this proceeding as either breach of contract claims or Puerto Rico Dealer’s Act issues and defenses and all claims and defenses related to the tortious interference with defendant’s telephone communications claim. The rest of the claims raised in the petition for declaratory judgment and the counterclaim in its entirety are hereby DISMISSED, without prejudice. Judgment shall be entered accordingly.
SO ORDERED.
Notes
. It should be noted that plaintiff has not answered the counterclaim.
. Plaintiff initially requested a “speedy hearing” in its prayer for relief in the petition for declaratory judgment, pursuant to the Federal Arbitration Act and Rules 57 and 65, Federal Rules of Civil Procedure. However, it did not request such hearing on its motion for arbitration nor has it renewed this request in its later representations to the court, or stated the need for a hearing. We assume plaintiffs reference to a hearing in its prayer to be related to its provisional remedy request. In any event, considering both parties’ positions on this matter we conclude that no facts relevant to this issue are disputed and deem the hearing provided by the Federal Arbitration Act unnecessary.
See International Union of Operating Engineers, Local Union No. 139
v.
Carl A. Morse, Inc.,
. In
Dean Witter,
the Court mentioned that the Act was designed to overcome traditional judicial hostility to arbitration agreements, an anachronism borrowed from English common law.
Id.
. Defendant mentions, in passing, that the issue of whether it is a Law 75 dealer, assuming it had no authority to "close” the freight solicitation contracts, should be certified to the Supreme Court of Puerto Rico. The only reason advanced to invoke this special procedure is because defendant believes that court will render an opinion distinguishing its prior decisions regarding the requirement of promoting and closing sales or service contracts that it determined was necessary in order to be considered a Law 75 dealer. Defendant points to Spanish commentator Garrigues’ opinion in his treatise on Spanish commercial law regarding the agency relationship. It argues that given that opinion, the Supreme Court of Puerto Rico will probably clarify its prior decisions and issue a decision favorable to it, including defendant within the scope of said definition.
Undoubtedly, the Supreme Court of Puerto Rico will continue to interpret Law 75, as will be its duty whenever such issues are properly before it, and these interpretations will most likely expand, clarify and even distinguish prior opinions. This District Court will also interpret and apply said law, but according to the Supreme Court of Puerto Rico’s existing rulings on this matter. It is not proper for us to speculate on what the law in Puerto Rico should be and render opinions modifying existing law. The definition of what constitutes a Law 75 dealer has been given by the Supreme Court of Puerto Rico. It cited
selected portions
of Garrigues. This federal court has carefully scrutinized these opinions in order to construe a working formula for the many Law 75 cases filed or removed. These published opinions, which defendant has not cited, speak for themselves and clearly indicate what the current state of the law in Puerto Rico on this matter is. Defendant’s expectations of how the Supreme Court of Puerto Rico will modify existing law in order to rule favorably in its case is insufficient to warrant the special procedure of certification which on the grounds asserted, would amount to a request for an advisory opinion from that court.
See Pan Ante. Comp. Corp. v. Data Gen. Corp.,
. As explained by the Court in Mitsubishi:
Soler’s concern for statutorily protected classes provides no reason to color the lens through which the arbitration clause is read. By agreeing to arbitrate a statutory claim, a party does not forego the substantive rights afforded by the statute; it only submits to their resolution in an arbitral, rather than a judicial forum. It trades the procedures and opportunity for review of the courtroom for the simplicity, informality, and expedition of arbitration. We must assume that if Congress intended the substantive protection afforded by a given statute to include protection against waiver of the right to a judicial forum, that intention will be Reducible from text or legislative history. ... Having made the bargain to arbitrate, the party should be held to it unless Congress itself has evinced an intention to preclude a waiver of judicial remedies for the statutory rights at issue. Nothing, in the meantime, prevents a party from excluding statutory claims from the scope of an agreement to arbitrate. [Citations omitted.] Id.
. The only prejudice one could surmise, giving defendant the full benefit of the doubt, would be if it had been pursuing an Article 3A Law 75 remedy and the issue of the arbitration clause could have in some way curtailed obtaining a speedy provisional remedy. However, defendant’s abandonment of that remedy relegates this possibility to the realm of the hypothetical.
. The parties have not discussed the anomaly of having to arbitrate in Florida and filing this action in this federal court.
