Category: Arbitration: Section 1281.2

Arbitration/CCP 1281.2: CCA 4/3 Affirms Order Denying Arbitration In Lawsuit Between Law Firm And Ex-Client Because Ex-Client’s Lawsuit Against Another Law Firm Created Possibility Of Conflicting Rulings

November 27, 2016 · Arbitration: Section 1281.2

Key Issue:  Who Is A Third Party Within The Meaning of 1281.2(c)?     Reger v. Glaser Weil Fink Howard Avchen & Shapiro, LLP, G052352 (4/3 11/22/16) (Aronson, Bedsworth, Ikola) (unpublished) shows how a party with an otherwise valid arbitration clause can be thwarted from arbitrating through the application of Cal. Code Civ. Proc., section 1281.2(c) […]

Class, Collective Bargaining, CCP 1281.2: Court Of Appeal Reverses Order Staying Individual Arbitrations Pending Trial Of “Non-Arbitrable Claims”–Because All Claims Are Arbitrable

“Judicial Economy Was Not . . A Proper Basis For Delaying Arbitration.”      What’s a judge to do when confronted with the possibility of compelling thousands of individual grievances to arbitration, versus staying the arbitration of arbitral issues, while one case is tried?  Here, the trial judge expediently stayed the individual arbitrations, and got reversed […]

Arbitration, CCP 1281.2, Construction Of Agreement, Scope: Plaintiff’s Equitable Claims Were Outside Scope Of Arbitration Agreement

Second District, Division 2, Rejects Appellants’ “Tortured” Reading Of Arbitration Provision And Affirms Order Denying Motion To Compel Arbitration.      Plaintiffs, investors in an independent bookstore, refused the request of defendants, the bookstore and its prior owner, to arbitrate a business dispute.  The key language in the arbitration provision read:  “Notwithstanding the foregoing, no arbitrator […]

Arbitration/CCP 1281.2/Enforceability: Opponent’s Filing Of Lawsuit Constitutes Refusal To Arbitrate

Fourth District, Division 3 Publishes To Distinguish Mansouri v. Superior Court.      California Code of Civil Procedure, section 1281.2 requires that a party seeking to compel arbitration allege, “the existence of a written agreement to arbitrate a controversy and that a party thereto refuses to arbitrate such controversy.”  The question in Hyundai Amco America, Inc. […]

Arbitration/Record/1281.2: Second District, Division 2 Affirms Trial Court’s Order Denying Petition To Compel Arbitration, Based On Slim Record

A Statement of Decision Couldn’t Have Hurt Appellants Here      The facts are somewhat odd here.  Defendants/Appellants were involved in a fee dispute with Plaintiff/Respondent, a law firm.  Defendants moved to compel arbitration, while arguing that the parties’ agreement, governed by the Los Angeles County Bar Association rules, did not allow the arbitrators to decide […]

Arbitration/Appealability/Waiver/1281.2/Agents: Court Of Appeal Reverses Denial Of Petition To Compel Arbitration, Because Delay In Bringing Petition Did Not Result In Prejudice

  Also, California Code of Civil Procedure, Section 1281.2, Did Not Prevent Arbitration, Because Federal Arbitration Act Applied And Preempted State Provision      Defendants/appellants in the next case lost a petition to compel arbitration in the trial court. At first blush, they had waived their right to arbitrate, because they delayed bringing their motion to […]

Arbitration/Agents/CCP 1281.2/Stay: Second District, Division 3 Reverses Trial Court’s Denial Of Motion To Compel Arbitration

Non-Parties To The Arbitration Agreement Were Not “Third Parties” Within The Meaning Of Section 1281.2(c).      The trial court denied defendants’ motion to compel arbitration, under the third party litigation exception found in Cal. Code Civ. Proc. 1281.2(c) to the general rule requiring enforcement of an arbitration agreement.   Here, only one of several defendants was […]

Arbitration/1281.2: Order Denying Motion To Compel Arbitration Is Affirmed Because Of Risk Arbitration Would Lead To Inconsistent Results

February 6, 2014 · Arbitration: Section 1281.2

Compelling Arbitration Of the Claims Against Appellants Could Result In Conflicting Rulings On Issues Common To All Defendants      Plaintiff Vox sued six defendants, including four former employees, alleging they conspired to “encumber” Vox’s business to the benefit of their planned competing business.  The four former employees were parties to arbitration agreements with Vox, and […]

Arbitration/Agency/Enforceability/CCP 1281.2: Nursing Home’s Petition To Arbitrate Fails For Lack Of Evidence That Husband Delegated Authority To His Wife To Agree To Arbitration

  Spouses Are Not Automatically The Agents Of One Another When It Comes To Making Health Care Decisions      Mrs. Goldman signed an arbitration provision on behalf of her husband who entered a nursing home.  After Mr. Goldman died, Mrs. Goldman sued on behalf of her husband for elder abuse and related wrongs, and in […]

Arbitration/Agents/Third Party Beneficiaries/FINRA: Financial Advisor May Be Allowed to Compel Arbitration As Agent and Third-Party Beneficiary of Defunct Member of FINRA

The Twist Here:  A Defunct Member of FINRA Cannot Compel Arbitration – But Its Agent or Third Party Beneficiary Could Do So Here (Maybe)      The Ronay Family Limited Partnership (Ronay) sued its financial advisor Robert R. Tweed, his investment firm TFI, and others, claiming Ronay had lost $4M as a result of bum investment […]