Ambler v. BT Americas Inc.

964 F. Supp. 2d 1169, 2013 WL 4427205, 2013 U.S. Dist. LEXIS 115844
CourtDistrict Court, N.D. California
DecidedAugust 15, 2013
DocketNo. 5:12-CV-05518-EJD
StatusPublished
Cited by4 cases

This text of 964 F. Supp. 2d 1169 (Ambler v. BT Americas Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ambler v. BT Americas Inc., 964 F. Supp. 2d 1169, 2013 WL 4427205, 2013 U.S. Dist. LEXIS 115844 (N.D. Cal. 2013).

Opinion

ORDER GRANTING DEFENDANT’S MOTION TO COMPEL ARBITRATION AND STAY PROCEEDINGS; DENYING DEFENDANT’S MOTION TO DISMISS

[Re: Docket No. 23]

EDWARD J. DAVILA, District Judge.

Presently before the court in this age discrimination and wrongful termination action is Defendant BT Americas Inc.’s (“Defendant”) Motion to Compel Arbitration and to Dismiss, or in the alternative, Stay Proceedings. Dkt. No. 23. The [1172]*1172court found this matter suitable for decision without oral argument pursuant to Civil Local Rule 7-1 (b) and previously vacated the hearing. The court has subject matter jurisdiction pursuant to 28 U.S.C. § 1332. Having fully reviewed the parties’ briefing, and for the following reasons, the court GRANTS Defendant’s Motion.

I. Background

Plaintiff Lynn Elvin Ambler (“Plaintiff’) filed the instant action on September 21, 2012 in the Superior Court of California, Santa Clara County, raising claims against Defendant, his former employer, for: (1) unlawful discrimination based on age; (2) failure to prevent discrimination; (3) wrongful termination in violation of public policy; (4) breach of contract; (5) breach of covenant of good faith and fair dealing; (6) intentional misrepresentation; (7) negligent misrepresentation; (8) wages wrongfully withheld; and (9) intentional infliction of emotional distress. See Declaration of Harold M. Brody ISO Notice of Removal Ex. A, Dkt. No. 2-1. On October 25, 2012, Defendant removed the action to this court on the basis of diversity jurisdiction. See Dkt. No. 1.

On June 7, 2013, Defendant filed the instant Motion to Compel Arbitration. See Dkt. No. 23. Defendant seeks to compel arbitration on the basis of an arbitration provision in a Confidential Information and Invention Assignment Agreement (the “Agreement”) that Plaintiff signed with a predecessor company to Defendant — International Network Services (“INS”) — at the beginning of his employment with INS in January 1995. See Dkt. No. 23-2 ¶ 6. Over the course of Plaintiffs sixteen years’ employment, his employer changed hands at least three times, ultimately becoming fully integrated into Defendant’s business. In 1999, Lucent Technologies acquired INS and operated it as a division of Lu-cent until 2002. Dkt. No. 23-2 ¶ 9. In 2002, senior INS management, including Plaintiff, negotiated and completed a purchase and spinout of the INS business from Lucent. Id. at ¶ 10. From that point until 2007, the company again operated under the name INS. See Dkt. No. 23-2 at ¶¶ 10-12. In early 2007, Defendant acquired this new INS. Id. at ¶ 12. Plaintiff remained employed with Defendant until his termination on April 29, 2011. Id. at ¶ 6. To the best of the court’s knowledge, INS remains integrated into Defendant today. See Dkt. No. 23-2 ¶ 13.

a. The Agreement

Plaintiff executed the Agreement as a condition of his original employment with INS on January 7, 1995. See Declaration of Jamie Newell ISO Def. Mtn to Compel Arb. (“Newell Decl.) Ex. A, Dkt. No. 23-4. The Agreement is a four-page document that governs topics such as the nature of Plaintiffs employment, the handling of confidential information, ownership of inventions and other intellectual property issues, rights and obligations in the event Plaintiff leaves INS, and dispute resolution procedures. Id. Particularly relevant to this motion, the Agreement contains the following provisions:

At-Will Employment — I understand and acknowledge that this Agreement is not an employment agreement, and that my employment with the Company is for an unspecified duration and constitutes ‘at-will’ employment. I acknowledge that nothing in this Agreement gives me any right to continued employment, and that my employment relationship with the Company may be terminated at any time, with or without good cause or for any or no cause, at the option of either of the Company or myself, with or without notice. Id. at ¶ 1.
[1173]*1173Arbitration — Except as provided in Section 9(b) below, I agree that any dispute or controversy arirsing out of or relating to any interpretation, construction, performance or breach of this Agreement, shall be settled by arbitration to be held in Santa Clara County, California, in accordance with the rules then in effect of the American Arbitration Association. The arbitrator may grant injunctions or other relief in such dispute or controversy. The decision of the arbitrator shall be final, conclusive and binding on the parties to the arbitration. Judgment may be entered on the arbitrator’s decision in any court having jurisdiction. The Company and I shall each pay one-half of the costs and expenses of such arbitration, and each of us shall separately pay our counsel fees and expenses. Id. at ¶ 9(a).
Survival — This Agreement (i) shall survive my employment by the Company, (ii) inures to the benefit of the Company, its successors and its assigns, and (iii) is binding upon my heirs and legal representatives. Id. at ¶ 10(d).

Though he was employed at Defendant and its predecessors from his original date of hire until his 2011 termination, Plaintiff does not appear to have signed or have been asked to sign a new employment agreement or Confidential Information and Invention Assignment Agreement since his original hire date with INS in 1995.

II. Legal Standard

The Federal Arbitration Act (“FAA”), 9 U.S.C. § 1 et seq., espouses a general policy favoring arbitration agreements and establishes that a written arbitration agreement is “valid, irrevocable, and enforceable.” 9 U.S.C. § 2. Upon the request of either party to the agreement, a court may compel arbitration “in accordance with the terms of the agreement.” 9 U.S.C. § 4. However, when considering a party’s request, the court is limited to determining (1) whether a valid arbitration agreement exists, and if so (2) whether the arbitration agreement encompasses the dispute at issue. 9 U.S.C. §§ 2-4; Cox v. Ocean View Hotel Corp., 533 F.3d 1114, 1119 (9th Cir.2008) (quoting Chiron Corp. v. Ortho Diagnostic Sys., Inc. 207 F.3d 1126, 1131 (9th Cir.2000)). If these conditions are satisfied, the court is without discretion to deny the motion and must compel arbitration. See Dean Witter Reynolds, Inc. v. Byrd, 470 U.S. 213, 218, 105 S.Ct. 1238, 84 L.Ed.2d 158 (1985) (“By its terms, the [FAA] leaves no place for the exercise of discretion by a district court, but instead mandates that district courts shall direct the parties to proceed to arbitration.”).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

McCoy v. Fleetwood Aluminum Products CA4/1
California Court of Appeal, 2026
Chun Ping Turng v. Guaranteed Rate, Inc.
371 F. Supp. 3d 610 (N.D. California, 2019)
Ultratech, Inc. v. Ensure NanoTech (Beijing), Inc.
108 F. Supp. 3d 816 (N.D. California, 2015)

Cite This Page — Counsel Stack

Bluebook (online)
964 F. Supp. 2d 1169, 2013 WL 4427205, 2013 U.S. Dist. LEXIS 115844, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ambler-v-bt-americas-inc-cand-2013.