Judge Kerry Bensinger, Case Number: 24STCP01471, Date: 2024-08-19 Tentative Ruling

This is a FINRA case. Petitioner Charles Schwab & Co., Inc. and Respondent Andre Gorospe, as Trustee of the Andre Gorospe Trust proceeded in arbitration with FINRA Dispute Resolution Services before Arbitrator Mary Margaret Bush (the “Arbitrator”). On November 28, 2023, the Arbitrator issued an award in favor of Petitioner. As relevant here, the award provides for expungement of all references to the subject arbitration from registration records by the CRD for Non-Party Brandt K. Mabuni (CRD #670726). Neither party is required to pay the other anything.

On May 6, 2024, Petitioner filed a Petition to Confirm Contractual Arbitration Award against Respondent in this court.

On May 9, 2024, Petitioner filed a Notice of Hearing on Petition to Confirm Arbitration Award.

Once arbitration is concluded, “any arbitrator’s award is enforceable only when confirmed as a judgment of the superior court.”¿ (O’Hare v. Municipal Resource Consultants (2003) 107¿Cal.App.4th 267, 278.)¿ Any of the parties may file a petition with the court, which must then “confirm the award, correct and confirm it, vacate it, or dismiss the petition.” (Code Civ. Proc.,¿§§¿1285, 1286; EHM Productions, Inc. v. Starline Tours of Hollywood,¿Inc. (2018) 21 Cal.App.5th 1058, 1063.)¿“It is well settled that the scope of judicial review of arbitration awards is extremely narrow.” (California Faculty Assn. v. Superior Court¿(1998) 63 Cal.App.4th 935, 943.)¿ “Neither the trial court, nor the appellate court, may ‘review the merits of the dispute, the sufficiency of the evidence, or the arbitrator’s reasoning, nor may we correct or review an award because of an arbitrator’s legal or factual error, even if it appears on the award’s face.”¿ (EHM Productions, supra, at p. 1063-64.)¿

Petitioner seeks an order confirming the arbitration award issued on November 28, 2023.

An arbitrator’s award is enforceable only after being confirmed by a court of law. (O’Hare, 107 Cal.App.4th at p. 278.)¿ “An award that has not been confirmed or vacated has the same force and effect as a contract in writing between the parties to the arbitration.”¿ (Code Civ. Proc., § 1287.6.)¿ Thus, the court must first evaluate and confirm the initial arbitration award.¿

Code of Civil Procedure section 1285.4 states: “A petition under this chapter shall:

a. Set forth the substance of or have attached a copy of the agreement to arbitrate unless the petitioner denies the existence of such an agreement.

c. Set forth or have attached a copy of the award and the written opinion of the arbitrators, if any.”

Here, Petitioner submits the written statement of decision and award issued by the Arbitrator. (Pet., Attachment 8(b) and (c).) Petitioner also submits a copy of agreement to arbitrate. (Pet., Attachment 4(b).) Petitioner has satisfied the filing requirements.

B. Service of the Arbitration Award & Timeliness of Petition (CCP §§ 1283.6, 1288, 1288.4)¿

Code of Civil Procedure section 1283.6 provides that: “The neutral arbitrator shall serve a signed copy of the award on each party to the arbitration personally or by registered or certified mail or as provided in the agreement.”¿ In addition, a party may seek a court judgment confirming an arbitration award by filing and serving a petition no more than four years, but not less than 10 days, after the award is served.¿ (Code Civ. Proc.,¿§§ 1288, 1288.4.)¿

Here, Petitioner final award was served by the Arbitrator on November 28, 2023. This Petition followed on May 6, 2024. The Petition is timely.

Code of Civil Procedure section 1290.4, the statute governing proper service of this motion states, in pertinent part:¿¿

“(a) A copy of the petition and a written notice of the time and place of the hearing thereof and any other papers upon which the petition is based shall be served in the manner provided in the arbitration agreement for the service of such petition and notice.¿

(b) If the arbitration agreement does not provide the manner in which such service shall be made and the person upon whom service is to be made has not previously appeared in the proceeding and has not previously been served in accordance with this subdivision: ¶ (1) Service within this State shall be made in the manner provided by law for the service of summons in an action.¿

Here, Petitioner served Respondent with a copy of this Petition and Notice of Petition on May 15, 2024. (See Notice of Acknowledgment, 5/20/24.) Respondent acknowledged receipt of the Petition and Notice of Petition on May 17, 2024. The Petition was properly served.

Based on the foregoing, the unopposed Petition to Confirm Contractual Arbitration Award is GRANTED.

Kerry Bensinger

Judge of the Superior Court