Darby v. Sisyphian, LLC

CourtCalifornia Court of Appeal
DecidedJanuary 26, 2023
DocketB314968
StatusPublished

This text of Darby v. Sisyphian, LLC (Darby v. Sisyphian, LLC) 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
Darby v. Sisyphian, LLC, (Cal. Ct. App. 2023).

Opinion

Filed 1/26/23 CERTIFIED FOR PARTIAL PUBLICATION*

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION TWO

AISHA DARBY, B314968

Plaintiff and Respondent, (Los Angeles County Super. Ct. No. BC691081) v.

SISYPHIAN, LLC,

Defendant and Appellant.

APPEAL from a judgment of the Superior Court of Los Angeles County, Michael L. Stern, Judge. Affirmed.

Law Offices of Jeffrey M. Cohon, Jeffrey M. Cohon, and Kristina S. Keller for Defendant and Appellant.

* Pursuant to California Rules of Court, rules 8.1100 and 8.1110, this opinion is certified for publication as to all parts except Part II of the Discussion. Mouton Law and Stacey Y. Mouton; Law Firm of Clifford H. Young and Clifford H. Young for Plaintiff and Respondent.

****** Under the California Arbitration Act (Code Civ. Proc., § 1280 et seq.) (the Act),1 a party seeking to vacate or correct an arbitration award must do so prior to the expiration of the Act’s statutory deadlines (§§ 1288.2, 1290.6). Sometimes, the party seeking such relief misses those deadlines. If another party to the arbitration has filed a competing petition to confirm that award, is the trial court allowed to consider any of the objections to confirmation raised in untimely filings seeking to vacate or correct the award? And if the judgment confirming the award is appealed, may the party who untimely sought to vacate or correct the award renew on appeal their challenges to the award’s confirmation? We conclude that the answer to both questions is “no.” Because well-settled law dictates the finding that the appealing party in this case did not meet the Act’s deadlines for vacating or correcting the arbitration award, we affirm the judgment confirming that arbitration award and grant the prevailing party her attorney fees on appeal. FACTS AND PROCEDURAL BACKGROUND I. Plaintiff Signs an Employment Contract Between June 2016 and May 2017, Aisha Darby (plaintiff) worked as an exotic dancer at the Xposed Gentlemen’s Club in Canoga Park, California (“the club”). In her “Entertainment Agreement,” plaintiff agreed to arbitrate “any controversy,

1 All further statutory references are to the Code of Civil Procedure unless otherwise indicated.

2 dispute, or claim . . . arising out of this agreement.” At that time, the club was owned and operated by Sisyphian, LLC (Sisyphian). II. Plaintiff Initiates Litigation In January 2018, plaintiff sued Sisyphian for (1) failure to pay minimum wage (in violation of Labor Code sections 1194, 1194.2, 1197 and 1197.1), (2) failure to pay overtime wages (in violation of Labor Code sections 226.7 and 512), (3) failure to pay wages for missed meal periods (in violation of Labor Code section 512), (4) failure to pay wages for missed rest breaks (in violation of Labor Code sections 512 and 1194), (5) waiting time penalties (in violation of Labor Code sections 202 and 203), (6) failure to provide accurate wage statements (in violation of Labor Code sections 223, 1194, 1194.2, and 1197), and (7) unfair competition.2 Plaintiff’s complaint alleged the relief she sought—which included attorney fees—in three different places for each of the above-listed claims: (1) in the section describing each claim, and (2) two times in the complaint’s “prayer” section, once in a subsection of the “prayer” corresponding with each claim and a second time under a catch-all subsection called “As To All Causes of Action.”

2 Plaintiff also asserted a cause of action for conversion, which the arbitrator dismissed. Plaintiff additionally sued Brad Barnes on the ground that Sisyphian was his “alter ego.” The arbitrator rejected that claim and awarded Barnes $1,037.50 in costs. Although Barnes is named on the notice of appeal in this case, he has made no separate appearance and no argument is offered attacking any ruling with regard to Barnes.

3 III. The Matter Is Arbitrated In reliance on the arbitration clause in the Entertainment Agreement, the trial court in May 2018 granted Sisyphian’s motion to compel arbitration of plaintiff’s claims. A. First interim arbitration award (on liability) 1. Motion to strike In September 2018, Sisyphian moved to strike four discrete portions of plaintiff’s complaint, and specifically sought to strike the allegations requesting attorney fees listed in the section describing the unfair competition claim, in the subsection of the “prayer” corresponding to that claim, and in the subsection listing the relief sought “As To All Causes of Action.” The arbitrator granted the motion to strike those allegations, including those in the catch-all “As To All Causes of Action” section because plaintiff, in her opposition, “ma[de] no effort to defend” them. 2. Hearing on the merits After three days of hearings in October 2019 as well as fulsome briefing, the arbitrator issued an “interim arbitration award.” The arbitrator ruled that plaintiff was an “employee” (rather than an independent contractor) of Sisyphian; that Sisyphian had not complied with its duties under the Labor Code to pay her the minimum wage and overtime wages, to give her rest and meal breaks, and to provide her accurate wage statements; and that Sisyphian owed her $23,347.25 in damages and penalties for its noncompliance. However, the arbitrator declined to award plaintiff the nearly $40,000 she sought as alleged customer gratuities or any restitution. The interim

4 award invited the parties to file motions seeking attorney fees and costs.3 B. Attorney fees order 1. Initial briefing and initial attorney fees order Because plaintiff did not prevail on all of her claims, plaintiff and Sisyphian filed competing motions for attorney fees and costs. After more fulsome briefing, the arbitrator in September 2020 issued an order denying both requests for attorney fees and costs. As pertinent here, the arbitrator cited two reasons for denying plaintiff’s request for attorney fees: (1) the arbitrator accepted Sisyphian’s representation—to which plaintiff did not respond in her reply brief—that plaintiff’s requests for attorney fees in her complaint had been stricken in their entirety, and (2) the arbitrator found that plaintiff had made no attempt to apportion her attorney fees between the claims on which she had prevailed and those on which she had not. The arbitrator asked Sisyphian to prepare a final arbitration award. 2. Plaintiff seeks reconsideration Eight days after the arbitrator issued the initial attorney fee order, plaintiff filed a motion asking him to use his “inherent authority” to reconsider the order on the ground that Sisyphian’s representation that all attorney fees allegations had been stricken from her complaint was inaccurate.4 After considering

3 Sisyphian filed a motion to correct the first interim award, which the arbitrator denied except as to clerical errors. Sisyphian does not attack that ruling on appeal.

4 Plaintiff’s motion also accused the arbitrator of “misinterpret[ing] or conveniently forget[ting]” the terms of the order striking portions of her complaint, condescendingly offered to “refresh [the arbitrator’s] memory,” implied that the arbitrator

5 further briefing, the arbitrator granted plaintiff’s motion, citing Sisyphian’s inaccurate representations and plaintiff’s lassitude in not pointing out the inaccuracy. Specifically, the arbitrator found that his prior order striking allegations in plaintiff’s complaint had not stricken the attorney fees allegations from the sections describing each Labor Code claim or from the “prayer” subsection corresponding with each claim. Thus, the arbitrator concluded, plaintiff’s complaint still contained a viable prayer for attorney fees for the claims on which she prevailed. The court then ordered “[a]n entirely new round of briefing.” 3.

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Darby v. Sisyphian, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/darby-v-sisyphian-llc-calctapp-2023.