The Federal Arbitration Act (FAA) governs contracts executed under state law as well as federal law. Decided January 23, 1984 (argued October 4, 1983). Opinion of the Court: Warren E. Burger → go there Dissenting: O'Connor. Topic: Businesses/Corporations/Contracts. Southland Corp. v. Keating, 465 U.S. 1 (1984), is a United States Supreme Court decision concerning arbitration. It was originally brought by 7-Eleven franchisees in California state courts, alleging breach of contract by the chain's then parent corporation. Southland pointed to the arbitration clauses in their franchise agreements and said it required disputes to be resolved that way; the franchisees cited state franchising law voiding any clause in an agreement that required franchisees to waive their rights under that law. A 7-2 majority held that the Federal Arbitration Act (FAA) applied to contracts executed under state law. Wiki link