Appellate Court Update for February 15, 2022

Preliminary orders by arbitrator not subject to vacature.

Arbitrator issued preliminary injunction prohibiting parties from revealing confidential information. Kirk filed a petition to vacate the arbitrator’s order in the Superior Court, alleging the arbitrator had failed to make mandatory disclosures pursuant to Code of Civil Procedure §1281.9 and the Ethics Standards. The Superior Court dismissed the petition. The Court of Appeal held that an order issuing a preliminary injunction is not an award within the meaning of Code of Civil Procedure §1283.4 and is not subject to confirmation or vacature by the Superior Court.

Attorneys’ fees award of $643,615.00 upheld

Plaintiffs purchased a Ford truck which broke down and could not be repaired. The jury awarded plaintiffs $47,715.60 in actual damages, $30,000 as a Song-Beverly Act civil penalty, and $150,000 in punitive damages for a total of $227,715.60, with interest. The trial court granted plaintiffs’ motion for attorney fees in the amount of $643,615.00, with interest. In a partially published decision, the Court of Appeal held that both civil penalties under the Song-Beverly Act and punitive damages for fraud and violations of the Consumer Legal Remedies Act were properly awarded and that the plaintiffs were not required to elect a remedy. In the unpublished portion of the decision, the Court held that because it was affirming the judgment, it would not disturb the attorneys’ fee award.