Majority Rejects State Law Rule That Ambiguous Contracts Are Interpreted Against The Drafter Because . . . Frank Varela, an employee of Petitioner Lamps Plus, Inc., sued Lamps Plus because a hacker tricked Varela's employer into disclosing tax information about 1,300 employees. Mr. Varela was understandably miffed after a fraudulent income tax return was […]
Case Contains Rich Discussion Of Arbitration, PAGA, Federal Preemption, And Divergence Of State And Federal Law. Plaintiffs sued their former employer, alleging wage and hour violations and seeking civil penalties under California's Private Attorney General Act of 2004 (PAGA). Employer successfully petitioned to arbitrate, with one exception: the trial court held that under Iskanian v. […]
Court Chastises Plaintiff's Counsel And Neutral Arbitrator. The Court of Appeal expresses displeasure with "unfortunate conduct" by plaintiff's counsel and the neutral arbitrator. The conduct included "omissions of key facts and misrepresentations . . . that would allow us to deem plaintiff's challenges as forfeited," and testimony by the "neutral arbitrator" in the superior […]
Defendant, A United Arab Emirates Bank, Lacked Sufficient Contacts With The US. The court staff summary of this case states: "The panel reversed the district court's judgment compelling arbitration of claims concerning a contract and remanded for dismissal on the ground that the district court lacked personal jurisdiction over the defendant." InfoSpan, Inc., et al. […]
Prejudice Did Occur Plus Bad Faith Inference That Late Motion To Compel Arbitration Was Sought For Strategic Purposes. The Fourth District, Division Three has a rich body of case law on arbitration waiver as enunciated through a trio of cases: Burton v. Cruise, 190 Cal.App.4th 939 (2010); Adolph v. Coastal Auto Sales, Inc., 184 […]
It Did Not Matter That Mechanic’s Lien Action Was Separate From Other Action Which Was Potentially Arbitrable. Von Becelaere Ventures, LLC v. Zenovic, Case No. D072620 (4th Dist., Div. 1 June 6, 2018) (published) (McConnell, P.J., concurred in by Huffman, J. and O’Rourke, J.) is an interesting case interpreting the application of Code of […]
FAA Collective Actions And Related State Law Class Actions Governed By Individualized Arbitration Proceedings Under Employment Contract. On May 21, 2018, the United State Supreme Court issued its decision in Epic Systems Corp. v. Lewis, 584 U.S. __, No. 16-285. SCOTUS decided that the FAA instructed federal courts to enforce individualized arbitration proceedings under an […]
Issue Deals With Whether Generalized Language Was Akin To Silence Under Stolt-Nielsen. In Stolt-Nielsen v. AnimalFeeds International Corp., 55 U.S. 662, 684, 687 (2010), the U.S. Supreme Court (SCOTUS) held that the differences between bilateral and class-action arbitration are too great to presume the parties’ mere silence on the issue of class-action arbitration constitutes […]
Gentry v. Superior Court: It's Alive, It's Alive! Gentry v. Superior Court (2007) 42 Cal.4th 443 (Gentry) held that class action waiver provisions in a contract are unenforceable, and a motion to compel arbitration may be denied, where the so-called "Gentry factors" are satisfied, and it is determined that a class action is a […]
To Ask The Question Is To Answer It . . . My law professors seemed fond of that old chestnut, "to ask the question is to answer it." Once you know the question presented by the Court of Appeal in Douglass v. Serenivision, Inc., B277574 (2/2 2/18/18) (Hoffstadt, Lui, Chavez) (published), you will […]