DW Industries, Inc. v. Dentsply International, Inc.

MEMORANDUM *

Dentsply appeals from an order denying its motion to dismiss or stay proceedings pending arbitration. Because the claims set forth in DW Industries’ complaint fall under the arbitration clause in the parties’ Purchase Agreement, we reverse and remand to the district court with instructions to dismiss the complaint.

With the exception of claims for specific performance or injunctive relief, the arbitration clause at issue requires arbitration of any dispute relating to the Purchase Agreement or “the transactions contemplated by” the Purchase Agreement. That clause is far broader than one requiring arbitration of any dispute “arising in connection with” an underlying agreement, which we have construed as extending to every dispute with a “significant relation *93 ship” to the agreement. See Simula, Inc. v. Autoliv, Inc., 175 F.3d 716 , 720-21 (9th Cir.1999) (arbitration clause chosen by parties must be interpreted “liberally”); see also Chiron Corp. v. Ortho Diagnostic Sys., Inc., 207 F.3d 1126, 1131 (9th Cir. 2000) (clause requiring arbitration of any dispute “relating to” agreement is “broad and far reaching”).

As to DW Industries’ claims for unpaid royalties under…