Judge: Thomas D. Long, Case: 23STCP04409, Date: 2024-01-18 Tentative Ruling

Case Number: 23STCP04409    Hearing Date: January 18, 2024    Dept: 48

SUPERIOR COURT OF THE STATE OF CALIFORNIA  

FOR THE COUNTY OF LOS ANGELES - CENTRAL DISTRICT 

 

HYBE AMERICA, INC,  

 

Petitioner, 

 

vs. 

 

REMARK HOLDINGS, 

 

Respondent. 

      CASE NO.: 23STCP04409 

 

[TENTATIVE] ORDER DENYING PETITION TO CONFIRM ARBITRATION AWARD

 

Dept. 48 

TIME: 8:30 AM

DATE: January 18, 2024

 

 

BACKGROUND

On November 13, 2023, arbitrator the Honorable David A. Thompson, Ret. (the “Arbitrator”) issued an arbitration award (the “Award”) finding in favor of Petitioner Hybe America, Inc. (“Petitioner”) and against Respondent Remark Holdings (“Respondent”) in the amount of $350,000.00 plus pre-judgment interest in the amount of $38,526.88 (calculated at 7 percent - $67.12 per day for 574 days from April 18, 2022 through November 13, 2023).  Petitioner was also awarded 100 percent of its arbitration fees and expenses.

On December 5, 2023, Petitioner filed the instant Petition for an Order Confirming Arbitration Award (the “Petition”).

On December 13, 2023, Petitioner provided Respondent with notice of the Petition and proof of service by mail of a copy of the Award.

MOVING PARTY POSITION

            Petitioner requests the Court to confirm the award in the sum of $350,000.00 together with pre-judgment interest in the amount of $38,526.88 (calculated at 7 percent - $67.12 per day for 574 days from April 18, 2022 through November 13, 2023) and daily interest of $67.12 from November 13, 2023 through the date of entry of this Award. Post-Judgment interest on the total judgment amount shall thereafter accrue at the legal rate.  Also, Petitioner to be awarded costs in the amount of $10,797.63.

            No opposition or reply has been filed.

DISCUSSION

I.                   Legal Standard

“Any party to an arbitration award in which an award has been made may petition the court to confirm, correct, or vacate the award.” (Code Civ. Proc. § 1285.) “Regardless of the particular relief granted, 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.) “Once a petition to confirm an award is filed, the superior court must select one of only four courses of action: it may confirm the award, correct and confirm it, vacate it, or dismiss the petition.” (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.)

A.    Filing Requirements (Code Civ. Proc., § 1285.4) satisfied

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 the 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.) “A response to a petition under this chapter may request the court to dismiss the petition or to confirm, correct or vacate the award.” (Code Civ. Proc. § 1285.2.)

Here, Petitioner has satisfied the requirements of CCP section 1285.4 by setting forth the substance of the parties’ agreement to arbitrate the Petition.  Petitioner provides the Court with a copy of the Sponsorship Agreement between the parties which includes the relevant arbitration agreement. Petitioner sets forth the Arbitrator’s name, Honorable David A. Thompson, Ret. and attaches a copy of the Award in Petitioner’s favor, which is signed and dated.

B.     Service of the Petition and Notice of Hearing (Code Civ. Proc. § 1290.4) satisfied

Code of Civil Procedure, section 1290.4 states, in relevant 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. ” (Code Civ. Proc., § 1290.4, subd. (a).)

Here, the Petition and notice of hearing were served by mail, postage prepaid, on Respondent in accordance with the Sponsorship Agreement.

C.    Service of the Arbitration Award & Timeliness of Petition (Code Civ. Proc. §§ 1283.6, 1288, 1288.4) not satisfied

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.” (Code Civ. Proc., § 1283.6.) Proof of service must be filed with the clerk of court along with the arbitration award within 10 days after the arbitration hearing. (Cal. Rules of Court, Rule 3.825, subd. (b)(1).) The arbitrator may use the Form LAADR-014 for this purpose. (LASC, Local Rule 3.301, subd. (a).) Additionally, 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 on the petitioner. (Code Civ. Proc., §§ 1288, 1288.4.)

While the Award provides “[t]he Case Manager shall serve this Final Award on the parties,” the Award does not include a proof of service or any other indication demonstrating the Arbitrator properly served a copy of the Award on the parties.  Thus, Petitioner has not satisfied the requirements of Section 1283.6.

CONCLUSION

Accordingly, the Petition to Confirm the Arbitration Award is DENIED. Petitioner must submit Proof of Service of the Arbitration Award.  

Moving party to give notice. 

Parties who intend to submit on this tentative must send an email to the Court at SMCDEPT48@lacourt.org indicating intention to submit.  If all parties in the case submit on the tentative ruling, no appearances before the Court are required unless a companion hearing (for example, a Case Management Conference) is also on calendar.

         Dated this 18th day of January 2024 

  

 

 

Hon. Thomas D. Long 

Judge of the Superior Court