Cases: Arbitration

Arbitration: Arbitration Fee Clause Saying That Both Sides Bear Their Own Fees, Subject To Reallocation By Arbitrator, Did Aid Substantive Unconscionability Determinations By Trial And Appellate Courts

Cases: Arbitration

CLRA Claims Require Bad Faith Prosecution To Award Prevailing Party Fees To Defendants, With The Clause Not Covering This Eventuality.             Gostev v. Skillz Platform, Inc., Case No. A164407 (1st Dist., Div. 2 Feb. 28, 2023) (published) is a must read for litigants and their attorneys on the enforceability of delegation and other arbitration damage/statute […]

Arbitration, Employment: Where Defendant Employer Lost Small Merits Award And Fee Award After Reconsideration By Arbitrator, But Did Not Timely File Motions To Correct Or Vacate, Fee Award Had To Be Affirmed

Cases: Arbitration, Cases: Employment

Bright-Line Rules On Arbitration Procedures Adopted, With Plaintiff Employee Entitled To Fees On Appeal.             This case may have more tips for practitioners and jurists when it comes to deadlines for parties seeking to correct and vacate arbitration awards, especially where a timely motion to confirm an arbitration award is made.  However, we briefly summarize

Arbitration, Fee Clause Interpretation: $1,648,620.17 Contractual Fee Award By An Arbitration Award Against FeeDx Affirmed In A Ninth Circuit Opinion

Cases: Arbitration, Cases: Fee Clause Interpretation

Arbitration Tribunal’s Fee Award Was Not Completely Irrational In Nature Under The FAA.             In HayDay Farms, Inc. v. FeeDx Holdings, Inc., Case Nos. 21-55650/21-55698 (9th Cir. Dec. 19, 2022) (published), two parties (HayDay and FeeDx) entered into an exclusive distribution agreement with each other through Nippon, providing for arbitration and making Nippon liable for

Arbitration: Employer’s Failure To Pay Its Share Of Required Arbitration Fees And Costs Within 30 Days Breached The Arbitration Agreement So That Employee Could Pursue Claims In Court

Cases: Arbitration

Issue Was Failure To Pay Fees/Costs For An Arbitration Continuance, But Arbitration Initiation Case Reasoning Was Analogous.              DeLeon v. Juanita’s Foods, Case No. B315394 (2d Dist., Div. 3 Nov. 23, 2022) (published) is the next progression from Espinoza v. Superior Court, 83 Cal.App.5th 761, 775-776 (2022), which held that an employer’s failure to timely

Arbitration: Arbitration Claimant Failing To Raise Fee Entitlement Basis As A Ground For Fee Award Waived The Argument In Later Arbitration Confirmation Proceedings

Cases: Arbitration

This Was No Ground To Correct The Award.             In Hollander v. Tennenbaum Capital Partners, LLC, Case No. B314018 (2d Dist., Div. 1 Nov. 21, 2022) (unpublished), the appellate court rejected an arbitration claimant’s argument that Labor Code fees were unwaivable when the claimant did not articulate that ground as a basis for the fee

Arbitration: Arbitrator’s Revised Award Of Fees To Prevailing Defendant Reversed Where Initial Merits Award Expressly Denied Fees To Defendant

Cases: Arbitration

Revised Award Was Not A Mere Correction, But A Substantive Merits Reconsideration And Impermissible New Award.             Taska v. TheRealReal, Inc., Case No. A164130 (1st Dist., Div. 5 Nov. 4, 2022) (published) was a situation where an arbitrator found in employer’s favor on the merits and denied employer’s fee request after finding employee’s case was

Arbitration: FAA Does Not Preempt State Court Provisions Requiring Business To Timely Pay Its Share Of Arbitration Expenses In An Arbitration Involving An Employee Or A Consumer

Cases: Arbitration

Order Compelling Arbitration Was Vacated And $2,310 In Monetary Sanctions Against Company Affirmed On Appeal.             The California Legislature recently enacted Code of Civil Procedure sections 1281.97, 1281.98, and 1281.99 which obligate a company which drafts an arbitration agreement relating to an employee or a consumer to pay its share of arbitration fees no later

Arbitration: Where Arbitration Costs Are Only Allowed To Be Granted By An Arbitator, That Contractual Clause Is Binding

Cases: Arbitration

Subsequent Post-Trial Proceeding Costs Not Subsumed In Contractual Clause.             In Crowder v. Freeman, Freeman & Smiley LLP, Case No. B309001 (2d Dist., Div. 1 Mar. 22, 2022) (unpublished), an appellate court reversed a superior court fee denial relating to arbitration proceedings, where only the arbitrator was allowed to award fees and costs.  The appellate

Arbitration, Mediation: $38,000 Fee/Costs Award By Arbitrator To Prevailing Seller Was No Abuse Of Discretion

Cases: Arbitration, Cases: Mediation

Arbitrator’s Ruling That Seller Did Not Unreasonably Refuse Mediation Was Upheld.             Unless an arbitration agreement has language indicating that the arbitrator’s award is subject to review under a heightened standard for legal error, it will be close to impossible to reverse an arbitrator’s legal, much less factual, determinations.  Faro v. Garnero, Case No. C093870

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