Jet Aviation Flight Services Incorporated v. 7BD LLC, et al.

CourtDistrict Court, D. Arizona
DecidedMarch 17, 2026
Docket2:23-cv-00059
StatusUnknown

This text of Jet Aviation Flight Services Incorporated v. 7BD LLC, et al. (Jet Aviation Flight Services Incorporated v. 7BD LLC, et al.) is published on Counsel Stack Legal Research, covering District Court, D. Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jet Aviation Flight Services Incorporated v. 7BD LLC, et al., (D. Ariz. 2026).

Opinion

1 WO 2 3 4 5 6 IN THE UNITED STATES DISTRICT COURT 7 FOR THE DISTRICT OF ARIZONA

9 Jet Aviation Flight Services Incorporated, No. CV-23-00059-PHX-DJH

10 Plaintiff, ORDER

11 v.

12 7BD LLC, et al.,

13 Defendants. 14 15 On May 22, 2025, Jet Aviation Flight Services, Inc. (“Plaintiff” or “Jet Aviation”) 16 filed a Motion to Confirm Binding Arbitration Award (Doc. 49). On June 23, 2025, 7BD 17 LLC (“7BD”) and DePonte Investments (“DePonte”) (collectively, “Defendants”) filed a 18 Motion to Vacate Arbitration Award (Doc. 54). Both Motions are fully briefed. (See Docs. 19 53, 56, 57).1 20 I. Background 21 This case generally arises out of contractual disputes between the parties. Despite 22 originally filing suit with the Court, the claims in this case were eventually resolved 23 through arbitration proceedings. 24 A. The Parties’ Agreements 25 Throughout 2021, Plaintiff entered into five contracts (collectively, the 26 “Agreements”) with 7BD and/or DePonte. (See Docs. 49-2–49-6). These contracts include 27 two Aircraft Services Agreements, executed in March 2021 (“March ASA”) and in October

28 1 Plaintiff’s Reply to its Motion to Confirm acts simultaneously as a Response in Opposition to Defendants’ Motion to Vacate. (See Doc. 56). 1 2021 (“October ASA”), as well as two corresponding “Dry Leases.” (See Docs. 49-2, 49- 2 3, 49-5, 49-6). In essence, these agreements memorialized the parties’ intent for 7BD to 3 pay Jet Aviation for its management, maintenance, and charter services for two aircrafts 4 owned by 7BD: a Dassault Falcon 900EX and a Dassault Falcon 2000 Classic. (See 5 generally id.). Deponte is listed as the “operator” on both the ASAs. (Doc. 49-2 at 2; Doc. 6 49-5 at 2). DePonte and Jet Aviation, additionally, entered into the Flight Support Services 7 Agreement (“FSSA”) to provide support personnel for the Dassault Falcon 2000 Classic in 8 conjunction with the March ASA. (Doc. 49-4). 9 During the course of the Agreements, Plaintiff claimed that Defendants failed to pay 10 it amounts owed under the Agreements. (Doc. 21 at ¶¶ 29–34). As a result of the alleged 11 nonpayments, Plaintiff originally brought suit against Defendants in this Court on January 12 10, 2023. (See Doc. 1). Citing arbitration clauses in their Agreements, the parties 13 subsequently filed a Joint Motion to Stay pending Arbitration (Doc. 22), which the Court 14 granted on August 4, 2023. (See Doc. 24). 15 B. Arbitration Proceedings 16 The parties agreed to conduct binding arbitrations using Judicial Arbitration and 17 Mediation Services (“JAMS”) alternative dispute resolution, governed by the JAMS Rules. 18 (Doc. 22 at 2). On August 9, 2023, Plaintiff filed its First Amended Statement of Claims 19 with JAMS, bringing a singular breach of contract claim. (Doc. 49-10). Defendants, in 20 answering the First Amended Statement, brought affirmative defenses as well as 21 counterclaims of breach of contract and the implied covenant of good faith and fair dealing 22 against Jet Aviation. (Doc. 49-11). Later that same month, the parties stipulated that 23 Daniel Platt, Esq. would serve as the Arbitrator throughout the JAMS proceedings. (Doc. 24 49-7 at 2). 25 On November 2, 2023, the parties attended a preliminary hearing and received the 26 original schedule for their arbitration. (Doc. 49-12 at 2). Initial disclosures were to be 27 completed by November 30, 2023, the discovery cut-off would be thirty days prior to the 28 evidentiary hearing, and motions to compel discovery had to be filed and served no later 1 than five days after the discovery cut-off. (Id. at 3–4). The evidentiary hearing was first 2 set to begin on April 29, 2024. (Id. at 5). 3 However, the discovery process proved to be highly contentious, requiring the 4 Arbitrator to settle multiple discovery disputes and extend the time needed for the parties 5 to complete the necessary discovery. (See Doc. 49-13 at 2–3, 5–6, 8–10, 12, 14, 16–20, 6 22–23). Therefore, the original scheduling order was amended, and the evidentiary hearing 7 was reset to begin on August 26, 2024. (Doc. 49-14). Following further discovery, 8 including the deposition of two Jet Aviation witnesses, Defendants moved to continue the 9 evidentiary hearing, which Plaintiff opposed. (Doc. 49-16 at 2). The Arbitrator granted 10 the motion to continue and set a five-day evidentiary hearing to be conducted on September 11 9, 10, 17, 2024 and October 2 and 3, 2024. (Id.) An additional arbitration date was then 12 added and scheduled for October 11, 2024. (Id. at 5). 13 On August 28, 2024, Defendants filed a “Motion for Appointment of Discovery 14 Master, Motion to Compel and Continue Depositions, Motion to Continue Arbitration,” 15 which sought the “following relief: (1) the appointment of a Discovery Master at 16 Claimant’s expense; (2) additional time to depose the corporate designees on topics 1, 2, 17 3, 6, 7, 8, 11, 12, 14, 16, 17 and 18; (3) to continue the evidentiary hearing; and (4) 18 additional time to bring a motion to compel.” (Doc. 49-17 at 2–3). The Arbitrator held a 19 telephonic hearing on the motion that same day and subsequently denied all of Defendants’ 20 requested relief. (Id. at 2–3). Despite the forthcoming evidentiary hearing on September 21 3, 2024, Defendants filed a complaint in Maricopa County Superior Court against Jet 22 Aviation, bringing accounting and fraud claims related to the Agreements and parties’ 23 ongoing arbitration. (See 7BD, LLC et al. v. Jet Aviation, CV2024-024192 (“Case Two”). 24 Plaintiff subsequently removed Case Two to this Court. (See Case No. 2:24-cv-02645).2 25 Notwithstanding Defendants’ decision to file Case Two, the parties proceeded with 26 arbitration on their initial claims, and a six-day evidentiary hearing was held before the

27 2 Defendants’ Case Two suit has muddied the waters here. After removal, Case Two was consolidated with the present case (Doc. 48). The claims in Case Two were then 28 subsequently referred to arbitration. (See Doc. 58). The parties are still in the early stages of the arbitration proceedings on Defendants’ Case Two claims. (See Doc. 65). 1 Arbitrator on September 9, 10, 17, and October 2, 3, and 11, 2024. (Doc. 55-17 at 4). In 2 advance of the hearing, the parties submitted opening briefs to the Arbitrator, and in lieu 3 of oral closing arguments, the parties filed closing briefs. (Docs. 49-18, 49-20). 4 Throughout the hearing, both parties examined and cross-examined expert and lay 5 witnesses, and they had the opportunity to present evidence and argument to the Arbitrator. 6 (See generally Docs. 55-1–55-5) (hearing transcripts)). Ultimately, the Arbitrator found 7 for Jet Aviation on all claims and awarded it damages against 7BD in the amount of 8 $1,295,161.00 and against DePonte in the amount of $215,158.00. The Arbitrator also 9 awarded Jet Aviation $736,169.73 in attorney fees, assessed jointly and severally against 10 Defendants. (See Doc. 55-17 at 2–26). Following the Arbitrator’s Final Award, the parties 11 filed cross motions to either confirm or vacate the award, which are now before the Court. 12 (Docs. 49, 54). 13 II. Legal Standard 14 Judicial review of an arbitration award is “limited and highly deferential.” Comedy 15 Club, Inc. v. Improv W. Assocs., 553 F.3d 1277, 1288 (9th Cir. 2009) (internal quotation 16 omitted). The Federal Arbitration Act (“FAA”) enumerates limited grounds on which a 17 federal court may vacate, modify, or correct an arbitral award. Bosack v. Soward, 586 F.3d 18 1096, 1102 (9th Cir. 2009). Courts may only vacate an arbitration award: 19 (1) where the award was procured by corruption, fraud, or undue means;

20 (2) where there was evident partiality or corruption in the arbitrators, or either 21 of them;

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Jet Aviation Flight Services Incorporated v. 7BD LLC, et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/jet-aviation-flight-services-incorporated-v-7bd-llc-et-al-azd-2026.