You know that this one must have been a real kerfuffle, because the Court of Appeal quotes the arbitrator: “Lots of fiercely fought and expensive litigation followed, including this arbitration.” Liner Grode Stein Yankelevitz Sunshine Regenstreif & Taylor v. Rotondo, B221056 & B223528 (2nd Dist. Div. 7 March 22, 2012) (Woods, Acting P.J.) (not for publication).
In this one, the appeals are about the legal fees, with the Court of Appeal reversing orders awarding attorney’s fees, and otherwise affirming the trial court’s confirmation of the arbitrator’s award. See the post on California Attorney’s Fees regarding the fee issue.
Along the way, the Court of Appeal offers helpful reminders regarding the standards for reviewing an arbitral award:
· Any doubts as to the meaning or extent of an arbitration award are for the arbitrators and not the court to resolve. Morris v. Zuckerman, 69 Cal.2d 686, 690-691 (1968).
· Neither the merits of the controversy nor the sufficiency of the evidence to support the arbitrator’s award are matters for judicial review.
· Though the court may vacate an award if it determines that the arbitrators exceeded their powers and the award cannot be corrected without affecting the merits of the decision upon the controversy submitted (Code Civ. Proc. section 1286.2(d)), it may not substitute its judgment for that of the arbitrators.
· Arbitrators can apply both legal and equitable principles in deciding the ultimate issue submitted to them. Morris v. Zuckerman, supra, 69 Cal.2d at 690-691.
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