Nonsignatories: Nonsignatories Are Unable To Take Advantage Of Arbitration Agreement Where There Is No Evidence Identifying Person With Whom Plaintiff Allegedly Contracted

It Helps To Be Able To Identify The Parties To An Arbitration Agreement !

     As the next case illustrates, sometimes the basics can trip one up when it comes to enforcing an arbitration agreement.

     Plaintiff filed a complaint alleging medical malpractice related to her sister’s death after lap band surgery.  Defendants – a surgical center and physicians – moved to arbitrate, alleging they were “contracting parties and/or third party beneficiaries and/or alleged agents.”  The trial court denied the motion, and defendants appealed.  Pelter v. 1 – 800 – Get-Thin, LLC, B250124 (2/1 Oct. 28, 2014) (Johnson, Rothschild, Chaney) (unpublished).

     Defendants’ problem was that only the decedent signed the arbitration agreement.  Now sometimes a party who has not signed can enforce an agreement against a party who has signed.  Here, however, the agreement did not clearly identify the parties:  “there is no evidence identifying the person or entity with whom [the decedent] allegedly contracted.”  And that made it impossible for the nonsignatory defendants to show they were entitled to enforce as third party beneficiaries or agents of . . . of whom?  That’s the problem.

     Affirmed.

     NOTE:  On June 11, 2014, I blogged about another case, Prewitt v. 1-800-Get-Thin, LLC, in which the 2nd District, Division 7, upheld the denial of a petition to arbitrate, based on delay and prejudice.

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