Judge: Mark E. Windham, Case: 23STCP03478, Date: 2024-02-26 Tentative Ruling

Case Number: 23STCP03478    Hearing Date: February 26, 2024    Dept: 26

 

BMW Financial Services, NA v. Coleman, et al.

PETITION TO CONFIRM ARBITRATION AWARD

(CCP § 1285, et seq.)


TENTATIVE RULING:

 

Petitioner BMW Financial Services, NA’s Petition to Confirm Arbitration Award is CONTINUED TO APRIL 29, 2024 AT 8:30 AM IN DEPARTMENT 26 IN THE SPRING STREET COURTHOUSE. BY APRIL 8, 2024, PETITIONER IS TO FILE PROOF OF SERVICE OF THE PETITION AND NOTICE OF HEARING IN ACCORDANCE WITH THE STATUTORY REQUIREMENTS. FAILURE TO DO SO MAY RESULT IN THE PETITION BEING DISMISSED.

 

 

ANALYSIS:

 

Petitioner BMW Financial Services, NA (“Petitioner”) filed the instant Petition to Confirm Arbitration Award against Respondent Tiffany Coleman (“Respondent”) on September 20, 2023. The Petition initially came for hearing on January 24, 2024 in Department 25 of the Spring Street Courthouse, at which time Respondent appeared. (Minute Order, 01/24/24.) The case was then transferred to Department 26 in the Spring Street Courthouse. (Ibid.) No response to the Petition has been filed to date.   

 

Legal Standard

 

“Any party to an arbitration in which an award has been made may petition the court to confirm, correct or vacate the award.  The petition shall name as respondent all parties to the arbitration and may name as respondents any other persons bound by the arbitration award.” (Code Civ. Proc., § 1285.) “If a petition or response under this chapter is duly served and filed, the court shall confirm the award as made, whether rendered in this state or another state, unless in accordance with this chapter it corrects the award and confirms it as corrected, vacates the award or dismisses the proceeding.” (Code Civ. Proc., § 1286.)

 

A response to a Petition to Confirm Arbitration Award that seeks to vacate or correct the award must be served and filed no later than 100 days after the date of the service of a signed copy of the award on the respondent. (Code Civ. Proc., § 1288.2.)

 

Discussion

 

Service of the Petition and Notice of Hearing

 

Code of Civil Procedure, section 1290.4 requires that the Petition and Notice of Hearing be served on Respondent “in the manner provided in the arbitration agreement for the service of such petition and notice” or “[i]f the arbitration agreement does not provide the manner in which such service shall be made . . . [s]ervice within this State shall be made in the manner provided by law for the service of summons in an action.” (Code Civ. Proc., § 1290.4, subds. (a), (b).)

 

Petitioner has not shown that the parties’ arbitration agreement provides for the manner of service of the Petition and Notice of Hearing. (Pet., Attachment 4(b) at ¶38.) It follows that the Petition and Notice of Hearing must be served in the manner provided by law for service of a summons, as set forth in Code of Civil Procedure sections 415.10 to 415.95. The Petition and Notice of Hearing were served by certified and electronic mail. (Proofs of Service, filed 01/18/24.) The proof of service by certified mail does not demonstrate that Respondent completed and returned the acknowledgment form, as required by Code of Civil Procedure section 415.30, subdivision (c). Nor is service by electronic mail an authorized method to serve a summons. Additionally, Petitioner was ordered to give notice of the continued hearing date, which has not yet been filed. (Minute Order, 01/24/24.)

 

Therefore, the Court finds that service of the Petition and Notice of Hearing do not conform to Code of Civil Procedure section 1290.4.

 

Service of the Arbitration Award and Timing of Service of Petition (CCP §§ 1283.6, 1288, 1288.4)

 

Code of Civil Procedure section 1283.6 requires that “[t]he 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.” (Code Civ. Proc., § 1283.6.) This requirement may be satisfied by service by the arbitrator, or upon proper service of the Award with the Petition. (See Murry v. Civil Service Employees Ins. Co. (1967) 254 Cal.App.2d 796, 799-800.) The arbitration award is not accompanied by a proof of service. (Pet., Attachment 8(c).) Nor has Petitioner demonstrated that the award was properly served on Respondent with the instant Petition. (Ibid.)

 

Also, a party seeking a court judgment confirming an arbitration award must file and serve the petition no more than four years, but not less than 10 days, after the award is served. (Code Civ. Proc., §§ 1288, 1288.4.) Petitioner not has demonstrated compliance with Code of Civil Procedure sections 1288 and 1288.4 because service of the Petition remains defective. Therefore, the Court finds that Petitioner has not complied with Code of Civil Procedure sections 1283.6, 1288, and 1288.4.

 

Confirmation of the Arbitration Award

 

An arbitration award is not directly enforceable until it is confirmed by a court and judgment is entered.  (Code Civ. Proc. § 1287.6; Jones v. Kvistad (1971) 19 Cal.App.3d 836, 840.) The court must confirm the award as made, unless it corrects or vacates the award, or dismisses the proceeding.  (CCP § 1286; Valsan Partners Limited Partnership v. Calcor Space Facility, Inc. (1994) 25 Cal.App.4th 809, 818.) 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.

 

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.) The Petition complies with the above requirements. It sets forth the nature of the arbitration agreement and the name of the arbitrator. (Pet., ¶¶4, 6.) A copy of the arbitration agreement and award are also attached. (Id. at Attachments 4(b) and 8(c).) Substantively, the Petition demonstrates that Petitioner is entitled to an award of $3,446.75 from Respondent. (Id. at Attachment 8(c).)

 

Attorney’s Fees, Costs, and Interest

 

To the extent Petitioner requests interest at the statutory rate from August 14, 2023, this may be included if judgment is entered in favor of Petitioner.

 

Conclusion

 

Based on the foregoing, Petitioner BMW Financial Services, NA’s Petition to Confirm Arbitration Award is CONTINUED TO APRIL 29, 2024 AT 8:30 AM IN DEPARTMENT 26 IN THE SPRING STREET COURTHOUSE. BY APRIL 8, 2024, PETITIONER IS TO FILE PROOF OF SERVICE OF THE PETITION AND NOTICE OF HEARING IN ACCORDANCE WITH THE STATUTORY REQUIREMENTS. FAILURE TO DO SO MAY RESULT IN THE PETITION BEING DISMISSED.

 

 

Moving party to give notice.