Judge: Gail Killefer, Case: 21STCV23803, Date: 2022-09-22 Tentative Ruling



Case Number: 21STCV23803    Hearing Date: September 22, 2022    Dept: 37

HEARING DATE:                 September 22, 2022    

CASE NUMBER:                  21STCV23803

CASE NAME:                        Steven Norris v. Cedars-Sinai Medical Center

MOVING PARTY:                Defendant, Cedars-Sinai Medical Center

OPPOSING PARTY:             Plaintiff Steven Norris

TRIAL DATE:                        None

PROOF OF SERVICE:          OK

                                                                                                                                                           

MOTION:                               Defendant’s Petition to Compel Arbitration and for a Stay of Proceedings

OPPOSITION:                       September 6, 2022

REPLY:                                  September 12, 2022

                                                                                                                                                           

Tentative:                                Defendant’s motion is granted. Plaintiff is ordered to arbitrate his claims with Defendant. The action is stayed pending the completion of arbitration or further order of the court. The court sets an order to show cause re status of the arbitration for October 3, 2023, at 8:30 a.m. in Department 37. Defendant is to give notice.  

                                                                                                                                                           

Background

This action arises out of the employment of Steven Norris (“Plaintiff”) as an Environmental Services Technician with Cedars-Sinai Medical Center (“Defendant”). Plaintiff alleges that he began working for Defendant in 1999, and was later moved to the Plaint Operations department as a Senior Crafts Worker in November 2017. Plaintiff alleges Defendant and Defendant’s employees disregarded Plaintiff’s disability history, denied his request for accommodations, and did not engage in a good faith process to find accommodations for Plaintiff.

Plaintiff’s operative Complaint alleges three causes of action: (1) denial of reasonable accommodation in violation of the Fair Housing Employment Act (“FEHA”); (2) disability discrimination in violation of the FEHA; and (3) unlawful retaliation in violation of the FEHA.

Defendant now moves to compel arbitration. Plaintiff opposes the motion.

Discussion

I.                   Legal Standard

 “California law reflects a strong public policy in favor of arbitration as a relatively quick and inexpensive method for resolving disputes.  To further that policy, CCP § 1281.2 requires a trial court to enforce a written arbitration agreement unless one of three limited exceptions applies.  Those statutory exceptions arise where (1) a party waives the right to arbitration; (2) grounds exist for revoking the arbitration agreement; and (3) pending litigation with a third party creates the possibility of conflicting rulings on common factual or legal issues.”  (CCP § 1281.2; Acquire II, Ltd. v. Colton Real Estate Group (2013) 213 Cal.App.4th 959, 967.)  Similarly, public policy under federal law favors arbitration and the fundamental principle that arbitration is a matter of contract and that courts must place arbitration agreements on an equal footing with other contracts and enforce them according to their terms.  (AT&T Mobility LLC v. Concepcion (2011) 563 U.S. 333, 339.)

In deciding a motion or petition to compel arbitration, trial courts must first decide whether an enforceable arbitration agreement exists between the parties and then determine whether the claims are covered within the scope of the agreement.  (Omar v. Ralphs Grocery Co. (2004) 118 Cal.App.4th 955, 961.)  The opposing party has the burden to establish any defense to enforcement.  (Gatton v. T-Mobile USA, Inc. (2007) 152 Cal.App.4th 571, 579 [“The petitioner ... bears the burden of proving the existence of a valid arbitration agreement and the opposing party, plaintiffs here, bears the burden of proving any fact necessary to its defense.”].)

Here, attached to the declaration of Bryan Hickey, Defendant provides a copy of the “Mutual Agreement to Arbitrate Claims” and its Petition to Compel Binding Arbitration points to the relevant language therein.  (Motion, 1-2, Hickey Decl. ¶¿5, Ex. B.)

II.                Existence of an Arbitration Agreement

A motion to compel arbitration or stay proceedings must state verbatim the provisions providing for arbitration or must have a copy of them attached.  (Cal. Rules of Court, rule 3.1330.)

A party may demonstrate express acceptance of the arbitration agreement in order to be bound (e.g., Mago v. Shearson Lehman Hutton Inc. (9th Cir. 1992) 956 F.2d 932 [agreement to arbitrate included in job application]; Nghiem v. NEC Electronic, Inc. (9th Cir. 1994) 25 F.3d 1437 [agreement to arbitrate included in handbook executed by employee]; Lagatree v. Luce, Forward, Hamilton & Scripps (1999) 74 Cal. App. 4th 1105 [88 Cal. Rptr. 2d 664] [employer may terminate employee who refuses to sign agreement to arbitrate]) or implied-in-fact in fact acceptance (Asmus v. Pacific Bell (2000) 23 Cal. 4th 1, 11 [96 Cal. Rptr. 2d 179, 999 P.2d 71] [implied acceptance of changed rules regarding job security]; DiGiacinto v. Ameriko-Omserv Corp. (1997) 59 Cal. App. 4th 629, 635 [69 Cal. Rptr. 2d 300] [implied acceptance of changed compensation rules]).  (Craig v. Brown & Root (2000) 84 Cal.App.4th 416, 420 (Craig).) 

“A signed agreement is not necessary, however, and a party’s acceptance [of an agreement to arbitrate] may be implied in fact….”  (Pinnacle Museum Tower Ass’n v. Pinnacle Market Dev. (US), LLC (2012) 55 Cal.4th 223, 23 (Pinnacle), cited in Pet. Mem. 6.)  “An arbitration clause within a contract may be binding on a party even if the party never actually read the clause.”  (Ibid.) “The content of a writing may be proved by otherwise admissible secondary evidence,” except when “a genuine dispute exists concerning material terms of the writing,” or admitting the secondary evidence “would be unfair.” (Evid. Code § 1521(a).) A party seeking to introduce secondary evidence to prove the contents of a lost writing must demonstrate that “ “a bona fide and diligent search has been unsuccessfully made for it”” (Dart Industries, Inc. v. Commercial Union Ins. Co. (2002) 28 Cal.4th 1059, 1068, quoting Folsom Executors v. Scott (1856) 6 Cal.4th 460, 461.)

Defendant argues that Plaintiff must be compelled to arbitrate because Plaintiff executed arbitration agreements on or about November 15, 2017, with an effective date of November 26, 2017, agreeing to arbitrate all disputes. (Motion, 1.)

Plaintiff signed a document titled “Mutual Agreement to Arbitrate Claims.” (“Arbitration Agreement”) (Id.; Hickey Decl. Exh. B.) The Arbitration Agreement provides as follows:

“It is not uncommon for disputes to arise between an employer and an employee. Arbitration is a speedy, impartial and cost-effective way to resolve these disputes. For this reason, except as otherwise provided in this Agreement, you and Cedars-Sinai agree that all claims or controversies in any way relating to or associated with your employment or the termination of your employment…will be resolved exclusively by binding arbitration. For purposes of this Agreement, Claims includes, but is not limited to, all statutory, contractual and/or common law claims including, but not limited, claims arising under Title VII of the Civil Rights Act of 1964; the Age Discrimination in Employment Act; the Equal Pay Act of 1963; the Family and Medical Leave Act; the California Fair Employment and Housing Act; the California Family Rights Act; the California Labor Code and Wage Orders of the Industrial Welfare Commission; the Fair Labor Standards Act; and the Americans with Disabilities Act.

...

 Arbitration Procedures

The party seeking arbitration must initiate arbitration proceedings by filing with JAMS in Los Angeles County a written demand for arbitration, in accordance with JAMS requirements. ... In the event no agreement can be reached, the arbitrator shall be appointed in accordance with the JAMS Employment Arbitration Rules & Procedures in effect at the time the Claim is submitted (“JAMS Rules”). The arbitration will be administered by JAMS pursuant to its Employment Arbitration Rules & Procedures and subject to JAMS policy on Employment Arbitration Minimum Standards of Procedural Fairness. The arbitrator’s fee will be paid by Cedars-Sinai. ... The parties shall be entitled to engage in discovery as authorized by the JAMS Rules.” (Hickey Decl., Exh. B, 1-2.)

The Arbitration Agreement are signed by Plaintiff and Andrew R. Ortiz, Senior Vice President of Human Resources and Organization Development. An arbitration agreement need not include both parties’ signatures to be enforceable. (Serafin v. Balco Properties, Ltd. LLC (2015) 235 Cal.App.4th 165, 176 [existence of agreement to arbitrate can be confirmed through evidence of the parties’ conduct.])

In opposition, Plaintiff contends “the purported agreement is legally void because Defendant Cedars had no right to bargain terms of employment directly with Plaintiff, as he is ... represented by a labor union, who vehemently denies the validity of the purported agreement.” (Opposition, 1.) Plaintiff provides no supporting authorities for this contention, other than a declaration of a Union Representative which calls for a legal conclusion as to the binding effect of this Agreement. (Opposition, Exh. B.) Second, Plaintiff contends it is “per se unconscionably for Defendant to seek to enforce an agreement to arbitrate that it knew, or should know, is invalid.” (Opp., 1-2.) Again, Plaintiff provides no supporting authorities for these conclusory claims.

In reply, Defendant first correctly explains that a showing of procedural and substantive unconscionability are both needed to show a defense to the arbitration agreement. (Reply, 3.) Defendant further contends the “U.S. Supreme Court has stated that an employee’s separate individual contract with an employer may be enforced if it is consistent with a collective bargaining agreement,” and therefore contends that the Arbitration Agreement is consistent with the collective bargaining agreement. (Reply, 3-4.) Defendant cites to Willis v. Prime Healthcare Services, Inc., (2014) 231 Cal.App.4th 615, 630 for this contention. The Willis court, in relevant part, states:

“Plaintiff's position is in part that the individual agreement, with its arbitration clause, cannot be enforced because of the National Labor Relations Act. That is the gist of the J.I. Case decision which held that individual contracts could not be used as a bar to engaging in collective bargaining. Mere reference to a collective bargaining agreement for damage computation ordinarily is insufficient to implicate section 301(a) preemption in varying circumstances...”

(Willis, supra, 231 Cal.App.at 632)(citations omitted).

As such, Defendant contends “Mr. Norris ... attempts to use the existence of a CBA as a reason not to enforce a valid, separate arbitration agreement that he entered into with Defendant. But just like the claims of the Willis plaintiff, Mr. Norris’ claims have nothing to do with the provisions of the CBA...” (Reply, 4.) The court agrees.

Because Plaintiff has failed to show how any collective bargaining agreement involving Plaintiff is implicated by this Arbitration Agreement, and because Plaintiff has further failed to argue either substantive or procedural unconscionability as a defense, the court finds an enforceable arbitration agreement exists between the parties.

For these reasons, Defendant’s motion to compel arbitration is granted.

Conclusion

Defendant’s motion is granted. Plaintiff is ordered to arbitrate his claims with Defendant. The action is stayed pending the completion of arbitration or further order of the court. The court sets an order to show cause re status of the arbitration for October 3, 2023, at 8:30 a.m. in Department 37. Defendant is to give notice.