Baltazar v. Ace Parking Management CA4/1

CourtCalifornia Court of Appeal
DecidedOctober 26, 2023
DocketD081483
StatusUnpublished

This text of Baltazar v. Ace Parking Management CA4/1 (Baltazar v. Ace Parking Management CA4/1) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baltazar v. Ace Parking Management CA4/1, (Cal. Ct. App. 2023).

Opinion

Filed 10/26/23 Baltazar v. Ace Parking Management CA4/1 NOT TO BE PUBLISHED IN OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

COURT OF APPEAL, FOURTH APPELLATE DISTRICT

DIVISION ONE

STATE OF CALIFORNIA

GLORIA BALTAZAR, D081483

Plaintiff and Respondent,

v. (Super. Ct. No. 37-2021- 00023736-CU-OE-CTL) ACE PARKING MANAGEMENT, INC. et al.,

Defendants and Appellants.

APPEAL from an order of the Superior Court of San Diego County, James A. Mangione, Judge. Reversed with instructions. Schwartz Semerdjian Cauley & Evans, Dick A. Semerdjian, Sarah Brite Evans and Mary R. Powell for Defendants and Appellants. GrahamHollis, Graham S.P. Hollis, Vilmarie Cordero and Dawn M. Berry for Plaintiff and Respondent.

INTRODUCTION This is an action brought under the Labor Code Private Attorneys General Act of 2004 (PAGA) (Lab. Code, § 2698 et seq.) by Gloria Baltazar against Ace Parking Management, Inc., Ace Parking, Inc., and Ace Parking Facilities, Inc. (collectively, Ace Parking). Within her complaint, Baltazar asserts a single cause of action under PAGA based on Labor Code violations she suffered personally (individual PAGA claims) and Labor Code violations suffered by other Ace Parking employees (non-individual PAGA claims). Ace Parking moved to compel arbitration of Baltazar’s individual PAGA claims pursuant to a written agreement in which Baltazar agreed to arbitrate “all disputes that may arise out of or be related in any way to [her] employment.” The trial court denied Ace Parking’s motion based on a provision in the parties’ arbitration agreement that allowed “a representative claim under the [PAGA]” to proceed in court “pending resolution of claims that are arbitrable.” Upon independently reviewing the arbitration agreement, we conclude Baltazar’s individual PAGA claims are covered by a clause requiring arbitration of “all disputes that may arise out of or be related in any way to [her] employment.” Although there are subsequent provisions in the agreement that carve out certain claims from arbitration, two are ambiguous as to whether they withdraw Baltazar’s individual PAGA claims from the scope of arbitration. Because the agreement specified arbitration would be conducted under the Federal Arbitration Act, we construe the ambiguity in favor of arbitration pursuant to controlling United States Supreme Court authority requiring us to do so. We determine a third carve-out provision in the agreement is properly interpreted not to encompass Baltazar’s individual PAGA claims. Because the parties’ agreement to arbitrate plainly encompasses her individual PAGA claims, and no other provision in the agreement clearly exempts them from arbitration, the trial court erred by denying Ace Parking’s motion. We reverse.

2 FACTUAL AND PROCEDURAL BACKGROUND I. The Parties’ 2019 Arbitration Agreement From May 2013 until March 2020, Baltazar worked as a shuttle bus driver for Ace Parking. In August 2019, she signed a “Team Member Acknowledgement and Agreement” presented to her by Ace Parking. Paragraphs 2 through 5 of this document set forth the terms of an arbitration agreement (arbitration agreement or agreement). Paragraph 2 of the agreement opened with a provision stating, “I and

the Company[1] agree to utilize binding individual arbitration as the sole and exclusive means to resolve all disputes that may arise out of or be related in any way to my employment.” Paragraph 2 further provided that arbitration would be conducted “under the Federal Arbitration Act ([FAA]), in conformity with the procedures of the California Arbitration Act[.]” After describing the scope of disputes subject to the agreement to arbitrate (which included “all disputes, whether based on . . . statute . . . or otherwise”), it went on to state: “The only exceptions to binding arbitration shall be for claims arising under the National Labor Relations Act which are brought before the National Labor Relations Board, claims for medical and disability benefits under the California Workers’ Compensation Act, Employment Development

1 The agreement defines “Company” to mean Ace Parking Management, Inc. In moving to compel arbitration, Ace Parking took the position the other two Ace Parking defendants (Ace Parking, Inc. and Ace Parking Facilities, Inc.) were entitled to enforce the agreement on the ground they were express beneficiaries or intended third party beneficiaries of the agreement. Baltazar has not disputed this position. As this point has been conceded, we treat the agreement as applying to disputes with all three Ace Parking entities.

3 Department claims, or other claims that are not subject to arbitration under current law.” Paragraph 3 of the agreement provided in full: “I agree that any claims brought under this binding arbitration Agreement shall be brought in the individual capacity of myself only, and, similarly, any claims brought under this binding arbitration Agreement by the Company shall be brought by the Company only. This binding arbitration Agreement shall not be construed to allow or permit the consolidation or joinder of claims of other claimants, or permit such claims to proceed as a class or collective action. No arbitrator shall have the authority under this agreement to order any such class or collective action. Any dispute regarding the validity, scope or enforceability of this Agreement shall be resolved by a court, not by the arbitrator. By signing this agreement, I am agreeing to waive any substantive or procedural rights that I may have to bring or participate in an action brought on a class or collective basis. If under applicable law a representative claim under the California Private Attorneys General Act (‘PAGA’) is found to be unwaivable and such an action is pursued in court, I and the Company agree that any such PAGA claim will be severed and stayed pending resolution of claims that are arbitrable.” Paragraph 4 of the agreement addressed selection of an arbitrator, procedures that would apply during arbitration, and other matters not at issue here. Paragraph 5 of the agreement stated in its entirety: “If any term or provision or any portion of this Agreement is deemed invalid or unenforceable, it shall be severed and the remainder of this Agreement shall be enforceable. Under no circumstances shall this Agreement be construed to allow arbitration on a class, collective, representative or other similar basis.”

4 II. Trial Court Proceedings A. Baltazar Files a PAGA Action Against Ace Parking In 2021, after Baltazar’s attorney first gave notice to Ace Parking as well as the Labor and Workforce Development Agency (LWDA) pursuant to Labor Code section 2699.3, Baltazar initiated a lawsuit against Ace Parking. Her complaint was titled, “REPRESENTATIVE ACTION FOR CIVIL PENALTIES PURSUANT TO THE [PAGA],” and stated in its opening line that Baltazar was bringing the action in “her representative capacity.” The complaint contained a single cause of action under PAGA based on numerous alleged wage-and-hour and meal- and rest-period Labor Code violations assertedly suffered by Baltazar and other non-exempt Ace Parking employees, as well as alleged violations of Ace Parking’s obligations under the Labor Code to maintain or furnish accurate records and wage statements. As the sole remedy for the claimed Labor Code violations, Baltazar sought recovery of civil penalties on behalf of herself and other aggrieved employees. B.

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Bluebook (online)
Baltazar v. Ace Parking Management CA4/1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baltazar-v-ace-parking-management-ca41-calctapp-2023.