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This Is Not How You Get to Arbitration

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Garcia v. Haralambos Bev. Co., No. B296923 (D2d5 Jan 4, 2020)  

At the time this employment class action filed, Defendant knew that it had a policy requiring employees to sign arbitration agreements, we well as a checklist indicating that the individual Plaintiffs had so signed, but did not believe it had the signed agreement itself. Litigation proceeded apace, including a couple CMCs, some discovery, some discovery disputes. 

About two years into the case, Defendant—which claimed to have located a signed arbitration agreement—moved to compel. But the trial court found, and the Court of Appeal agrees, that Defendant waited too long. Moreover, Defendant participated in all kinds of litigation activity that is inconsistent with a right to arbitrate. That activity continued even after the signed agreement had been located. So the trial court was correct to determine that Defendant waived any right to arbitrate.

Affirmed.


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