Judge: Mark A. Young, Case: 20SMCV00985, Date: 2024-02-07 Tentative Ruling



Case Number: 20SMCV00985    Hearing Date: February 7, 2024    Dept: M

CASE NAME:           Robinson v. Radnet Management, Inc., et al.

CASE NO.:                20SMCV00985

MOTION:                 Defendants’ Petition to Confirm Arbitration Award

                                    Plaintiff’s First Amended Petition to Vacate Arbitration Award

HEARING DATE:   02/07/2024

 

Background

 

            On July 24, 2020, Plaintiff Stephanie Robinson filed a complaint against Defendants Radnet Management, Inc., Susan Alexander, Cheryl Sullivan, and DOES 1 through 100, inclusive, for (1) Wrongful Termination Against Public Policy; (2) Wrongful Termination in Violation of Implied Employment Agreement; (3) Racial and Color Discrimination; (4) Disability Discrimination; (5) Workplace Harassment; (6) Retaliation for Engaging in Protected Activity; (7) Failure to Provide Workplace Environment Free from Harassment Discrimination and/or Retaliation; (8) Denial of Reasonable Accommodation; and (9) Intentional Interference with Prospective Economic Relations.

 

            On September 29, 2020, Plaintiff and Defendants filed a Joint Stipulation and Order to Submit Matter to Arbitration. The Court granted the joint stipulation the same day.

 

            On October 19, 2023, Plaintiff filed this operative First Amended Petition to Vacate Contractual Arbitration Award. On November 1, 2023, Defendants filed an opposition. On November 1, 2023, Defendants also filed this Petition to Confirm Arbitration Award. No opposition has been filed.

 

Legal Standard

 

Confirm Arbitration Award

 

Any party to an arbitration may petition the court to confirm an arbitration award. (CCP § 1285.) If a petition to confirm an arbitration award is duly served and filed, the court must confirm the award as made, unless the court corrects or vacates the award pursuant to a response to the petition or a petition to correct or vacate the award. (CCP § 1286; Valsan Partners Limited Partnership v. Calcor Space Facility, Inc. (1994) 25 Cal.App.4th 809, 818 [no authority to alter terms of award absent petition to correct]; see Thriftimart, Inc. v. Superior Court (1962) 202 Cal.App.2d 421, 425-26 [an objection to the granting of a motion to confirm an award is equivalent to a motion to vacate].)

 

A petition to confirm an arbitration award must set forth the substance of or attach the arbitration agreement, include the name of the arbitrator, and attach a copy of the award and the written opinion of the arbitrator, if any. (CCP § 1285.4.) The petition must be served no earlier than 10 days, but no later than 4 years, after service of the award on the petitioner. (CCP §§ 1288, 1288.4.) If the agreement sets forth a method of service for the petition, that method holds. (CCP §1290.4(a).) If the arbitration agreement does not set forth a method, service shall be made in the manner provided by law for service of summons in an action if the party has not appeared. (CCP § 1290.4(b).) If the party upon whom the petition is to be made has appeared, service can be made by noticed motion. (CCP § 1290.4(c).) 

 

A response to a petition must be served and filed within 10 days after service of the petition. The time for response may be extended by an agreement in writing between the parties or for good cause by order of the court. (CCP § 1290.6.) 

 

Every presumption is in favor of the arbitration award. (Firestone Tire & Rubber Co. v. United Rubber Workers of America (1959) 168 Cal.App.2d 444, 449.) CCP section 1286.2 provides that “the court shall vacate the award if the court determines any of the following: (1) [t]he award was procured by corruption, fraud or other undue means.” (CCP § 1286.2(a).) The defendant moving for vacation of an arbitration award due to corruption, fraud, or other undue means must demonstrate a nexus between the award and the alleged undue means used to attain it. (Pour Le Bebe, Inc. v. Guess? Inc. (2003) 112 Cal.App.4th 810, 833-34.)

 

Vacate/Correct Arbitration Award

 

A request to vacate or correct an arbitration award must be filed and served within 100 days of service of the award. (CCP § 1288.) “In order to comply with the purpose of expeditious resolution of disputes through arbitration, time limits in which to challenge arbitration awards must be strictly enforced.” (Knass v. Blue Cross of California (1991) 228 Cal.App.3d 390, 395.) Service of a petition within California shall be made in the manner provided by law for the service of a summons. (CCP §1290.4(b)(1).) The timing requirements for filing and serving a petition to vacate an arbitration award are jurisdictional. (Abers v. Rohrs (2013) 217 Cal.App.4th 1119, 1212; Knass, supra, 228 Cal.App.3d at 395[section 1288’s timing requirements must be strictly enforced]; Santa Monica Coll. Faculty Assn. v. Santa Monica Cmty. Coll. Dist. (2015) 243 Cal.App.4th 538, 545 [“the filing and service deadline for a petition to vacate is jurisdictional; noncompliance deprives a court of the power to vacate an award unless the party has timely requested vacation.”].) Section 1286.4 expressly limits the court's power to vacate an award, stating that a “court may not vacate an award unless… a petition or response requesting the award be vacated has been duly served and filed…”  

 

Judicial review of private arbitration awards is generally limited to the¿statutory grounds for vacating or correcting an award. (ECC Capital Corp. v. Manatt, Phelps & Phillips, LLP¿(2017) 9 Cal.App.5th 885, 899-900.) These grounds include:

 

(1) the award was procured by corruption, fraud or other undue means;

(2) there was corruption in any of the arbitrators;

(3) the rights of the party were substantially prejudiced by misconduct of a neutral arbitrator;

(4) the arbitrators exceeded their powers and the award cannot be corrected without affecting the merits of the decision upon the controversy submitted;

(5) the rights of the party were substantially prejudiced by the refusal of the arbitrators to postpone the hearing upon sufficient cause being shown therefor or by the refusal of the arbitrators to hear evidence material to the controversy or by other conduct of the arbitrators contrary to the provisions of this title; or

(6) an arbitrator making the award either: (A) failed to disclose within the time required for disclosure a ground for disqualification of which the arbitrator was then aware, or (B) was subject to disqualification upon grounds specified in section 1281.91 but failed upon receipt of timely demand to disqualify himself or herself as required by that provision.

 

(CCP § 1286.2(a).) “On its face, the statute leaves no room¿for discretion. If a statutory ground for vacating the award exists, the trial court must vacate the award.” (Ovitz v. Schulman (2005) 133 Cal.App.4th 830, 845.)  

 

CCP section 1286.6 provides that the court “shall correct the award and confirm it as corrected if the court determines that: [¶] (a) There was an evident miscalculation of figures or an evident mistake in the description of any person, thing or property referred to in the award; [¶] (b) The arbitrators exceeded their powers but the award may be corrected without affecting the merits of the decision upon the controversy submitted; or [¶] (c) The award is imperfect in a matter of form, not affecting the merits of the controversy.” 

 

Analysis

 

Petition to Vacate Arbitration Award

 

Plaintiff Stephanie Robinson petitions the Court to vacate the arbitration award dated October 17, 2023, requiring her to pay Defendant Radnet Management, Inc. $33,753.91. Plaintiff states on March 29, 2011, she and Defendant Radnet Management, Inc. entered into a written arbitration agreement covering disputes of Harassment, Discrimination, Retaliation under FEHA, and Wrongful Termination. Furthermore, Plaintiff states that the arbitration hearing was held by Amy Semmel, Esq. of the American Arbitration Association (“AAA”). Plaintiff argues the arbitration award was obtained by corruption, fraud, and other unfair means. Plaintiff further argues the arbitrator was corrupt, exceeded her authority, and the award cannot be fairly corrected. Moreover, Plaintiff contends the misconduct of Ms. Semmel as a neutral arbitrator substantially prejudiced her rights. Additionally, Plaintiff argues Ms. Semmel should have disqualified herself after Plaintiff made a demand that she do so.

 

Specifically, Plaintiff asserts there is a plethora of disputed material facts, hence, as a matter of law, summary judgment should have been denied. Plaintiff argues Ms. Semmel accepted Defendant Radnet Management, Inc. facts over those in her declaration, which is entirely improper, since all evidence is to be considered in a light most favorable to the non-moving party. Plaintiff also contends Ms. Semmel should not have denied her Motion for Leave to File a Cause of Action for Constructive Termination. Lastly, Plaintiff contends Ms. Semmel was blatantly biased against her and her counsel throughout the course of the proceedings.

 

In opposition, Defendant Radnet Management, Inc. argues Plaintiff makes no showing under Section 1286.2 that the arbitration award was obtained by fraud, corruption, misconduct, or other means that would invalidate the award. Further, Defendant Radnet Management, Inc. contends Plaintiff admits the basis for her petition is her belief that the arbitrator (Ms. Semmel) made a mistake of law in her ruling on Defendant Radnet Management, Inc.’s Motion for Summary Judgment. Defendant Radnet Management, Inc. also contends Plaintiff does not allege any conduct on the part of Defendant Radnet Management, Inc. or the arbitrator that amounts to corruption, fraud, or other undue means in procuring the arbitration award.

 

Here, Plaintiff has not provided evidence sufficient to support vacating the arbitration award. Although Plaintiff requests vacating the arbitration award under Code of Civil Procedure Sections 1286.2(a)(1)-(2), Plaintiff presents no evidence of Defendant’s conduct that amounts to corruption, fraud, or other unfair means to procure the arbitration award. Similarly, Plaintiff request vacating the award on the basis that Ms. Semmel was corrupt and engaged in misconduct that substantially prejudiced Plaintiff’s rights.  However, Plaintiff’s argument is that the arbitrator did not consider the facts in her favor on the Motion for Summary Judgment and improperly denied her leave to add a cause of action.

 

In contrast to Plaintiff’s allegations, the arbitrator’s Ruling on the Motion for Summary makes several references to the oral argument hearing and legal analysis as to why the motion was denied, which demonstrates Ms. Semmel fully heard the parties on the matter and offers a detailed explanation of why it was denied. Furthermore, Ms. Semmel considered the moving papers, opposition papers, reply papers, and oral argument in making her final ruling on the Motion for Summary Judgment. This demonstrates she did not exceed her authority as an arbitrator because she considered all of the relevant evidence before her in making the final ruling. Additionally, Plaintiff provides no facts or evidence to support her claims that Ms. Semmel was biased toward her and her counsel of record that would necessitate her recusal as the neutral arbitrator apart from their contention that Ms. Semmel would not grant her leave to file an amended complaint to add the constructive termination claim. Finally, the Court cannot review an arbitration award because of the arbitrator’s alleged legal or factual error. (See EHM Productions, Inc. v. Starline Tours of Hollywood, Inc.¿(2018) 21 Cal.App.5th 1058, 1063-64.)

 

Accordingly, Plaintiff Stephanie Robinson’s Petition to Vacate Contractual Arbitration Award is DENIED.

 

Petition to Confirm Arbitration Award

 

As stated, there are no grounds presented by Plaintiff justifying vacating the arbitration award.  As set forth below, the petition to confirm the award complies with all statutory requirements, and therefore, must be granted. 

 

Here, the petition does “(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. (b) Set forth the names of the arbitrators. (c) Set forth or have attached a copy of the award and the written opinion of the arbitrators, if any.” (Code Civ. Proc., § 1285.4.) Defendants’ have also attached a copy of the arbitration agreement. (Holloman Decl., ¶ 2, Ex. A.) Furthermore, Defendants’ have indicated the name of the arbitrator that proceeded over this matter was Amy Semmel, Esq. (Pet. 1:3-4.) Moreover, Defendants’ attached a copy of arbitrator Semmel’s ruling on the Motion for Summary Judgment and Final Award. (Holloman Decl., ¶¶ 5-6, Ex. C-D.)

 

Accordingly, Defendants Radnet Management, Inc., Susan Alexander, and Cheryl Sullivan’s Petition to Confirm Arbitration Award is GRANTED.