New CA Arbitration Case, 3-11-25
Mar 11, 2025
I help California lawyers get excellent results several ways:
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New CA Arbitration Case
Which Party Had the Obligation to Start the Arbitration Proceeding?
Last month, the California Court of Appeal addressed this issue. Below is my one-paragraph summary of this new decision:
Arzate v. ACE American Insurance Company (2025) _ Cal.App.5th _, 2025 WL 309326: The Court of Appeal reversed the trial court’s order that reversed its earlier order granting defendant’s motion to compel and lifted the stay of litigation after neither of the parties took any action to initiate arbitration. The underlying action was a wage and hour action by employees against defendant employer. The arbitration agreements at issue required any person having employment related legal claims to submit them to arbitration. They also required the party who wanted to start the arbitration procedure to begin the process by filing a demand for arbitration. The trial court concluded that the defendant had the obligation to commence arbitration, which is why it lifted the litigation stay after no one initiated arbitration. The Court of Appeal disagreed and reversed the trial court, concluding that under the arbitration agreements the party wanting to assert a claim governed by the arbitration agreements had the obligation to commence arbitration. In this case that was the plaintiffs. Defendant did not breach the arbitration agreements or waive its right to arbitration by failing to submit the plaintiffs’ claims to arbitration. (C.A. 2nd, filed January 27, 2025, published February 19, 2025.)
Mediation, Arbitration and Referee Services
I help attorneys and their clients throughout California as a mediator, arbitrator and referee at ADR Services, Inc. I handle business, commercial, employment, insurance, probate, real property, and tort cases. I've represented both plaintiffs and defendants in the above areas, I've been a member of the American Board of Trial Advocates (ABOTA) since 1995, I've tried over 100 cases, and I'm a past president of the San Diego County Bar Association and the San Diego Chapter of ABOTA. To schedule a new matter, please contact one of my case managers at ADR services, Inc.:
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Until my next blog post, do well and be well.
Best regards,
Monty A. McIntyre, Esq.
Mediator, Arbitrator & Referee
Podcaster: Trial Alchemy™
Publisher: California Case Summaries™
ABOTA Member Since 1995
Past President: San Diego County Bar Assn.
Past President: SD ABOTA Chapter
Phone: (619) 990-4312. Email: [email protected]
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