Jorge-Colon v. Mandara Spa Puerto Rico, Inc.

685 F. Supp. 2d 280, 2010 U.S. Dist. LEXIS 14925, 2010 WL 563448
CourtDistrict Court, D. Puerto Rico
DecidedFebruary 18, 2010
DocketCivil 09-1571 (SEC)
StatusPublished
Cited by4 cases

This text of 685 F. Supp. 2d 280 (Jorge-Colon v. Mandara Spa Puerto Rico, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jorge-Colon v. Mandara Spa Puerto Rico, Inc., 685 F. Supp. 2d 280, 2010 U.S. Dist. LEXIS 14925, 2010 WL 563448 (prd 2010).

Opinion

OPINION AND ORDER

SALVADOR E. CASELLAS, District Judge.

Pending before this Court is Co-defendant Mandara Spa Puerto Rico, Inc.’s (“Defendant” or “Mandara”) Motion to Compel Arbitration and Stay Proceedings (Docket # 4), Plaintiff Delia E. Jorge-Colon’s (“Plaintiff’) opposition thereto (Docket # 7), and Defendant’s reply (Docket # 10). After reviewing the filings, and the applicable law, Defendant’s request to compel arbitration is GRANTED.

*282 Factual Background

On June 23, 2009, Plaintiff filed the present suit under Title VII of the Civil Rights Act of 1964 (Title VII), as amended by the Pregnancy Discrimination Act of 1978, 42 U.S.C. § 2000e et seq, the Family Medical Leave Act (“FMLA”), 29 U.S.C. § 2601 et seq, Puerto Rico Law No. 3 of March 13, 1942, 29 L.P.R.A. § 469, and Law No. 80 of May 30, 1976, 29 L.P.R.A. § 185a, et seq 1 According to Plaintiff, Defendant discriminated against her because of her pregnancy, and failed to adequately notify her about her rights under the FMLA. On August 5, 2009, Defendant filed a motion to compel arbitration and requesting a stay of the proceedings. Docket # 4. Therein, Defendant contends that pursuant to Mandara’s Employee Dispute Resolution Policy (“DRP”), which was signed by Plaintiff on October 25, 2004, the present case should be referred to arbitration, and stayed pending resolution of the same. Plaintiff opposes, arguing that labor disputes arising under Title VII and analogous statutes may be raised directly before the federal courts, without first resorting to arbitration. Defendant replied, reasserting its prior arguments.

Applicable Law and Analysis

In Puerto Rico, arbitration is strongly favored as an alternative conflict-resolution mechanism. Quiñones-González v. Asoc. Cond. Playa Azul II, 161 D.P.R. 668 (2004). Puerto Rico’s Arbitration Act, P.R. Laws Ann. tit. 32, § 3201, provides that two or more parties:

may agree in writing to submit to arbitration any dispute which may be the object of an existing action between them at the time they agreed to the arbitration, or they may include in a written agreement a provision for the settlement by arbitration of any dispute which may arise in the future between them from such settlement or in connection therewith. Such an agreement shall be valid, enforceable and irrevocable except for the grounds prescribed by law or equity for the reversal of an agreement.

See also Federal Arbitration Act, 9 U.S.C. § 2.

Similarly, Congress has set forth a policy favoring arbitration. See Soto-Alvarez v. AIMCO, 561 F.Supp.2d 228, 230 (D.P.R.2008). In fact, “Congress enacted the FAA in order ‘[t]o overcome judicial resistence to arbitration,’ ” Garrison v. Palmas del Mar Homeowners Ass’n, 538 F.Supp.2d 468, 472 (D.P.R.2008) (citing Buckeye Check Cashing, Inc. v. Cardegna, 546 U.S. 440, 443, 126 S.Ct. 1204, 163 L.Ed.2d 1038 (2006)), “ ‘... encourage speedy resolution of disputes and to bind parties to their voluntary agreements.’ ” Id. (citing Ideal Unlimited Services Corp. v. Swift-Eckrich, Inc., 727 F.Supp. 75, 76 (D.P.R.1989)). Likewise, it sought to “overrule the judiciary’s longstanding refusal to enforce agreements to arbitrate,” and to “place arbitration agreements ‘upon the same footing as other contracts,’ ” De Jesus-Santos v. Morgan Stanley Dean Witter, Inc., No. 05-1336, 2006 WL 752997, *4, 2006 U.S. Dist. LEXIS 24327, *13 (D.P.R. Mar. 22, 2006) (citing Dean Witter Reynolds, Inc. v. Byrd, 470 U.S. 213, 219-220, 105 S.Ct. 1238, 84 L.Ed.2d 158 (1985), and Scherk v. Alberto-Culver Co., 417 U.S. 506, 511, 94 S.Ct. 2449, 41 L.Ed.2d 270 (1974)). In so doing, Congress set forth that “arbitration is simply a matter of a contract between the parties; it is a way to resolve those disputes — but only those dis *283 putes — that the parties have agreed to submit to arbitration.” First Options of Chicago, Inc. v. Kaplan, 514 U.S. 938, 943, 115 S.Ct. 1920, 131 L.Ed.2d 985 (1995).

Pursuant to the Federal Arbitration Act (“FAA”), 2 a written arbitration agreement is “valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract.” 9 U.S.C. § 2. Accordingly, “[t]he FAA mandates the district court to compel arbitration when the parties have signed a valid arbitration agreement governing the issues in dispute, removing the district court’s discretion over whether to compel arbitration or provide a judicial remedy to the parties.” Soto-Alvarez, 561 F.Supp.2d at 230. 3 On this issue, the Supreme Court has held that “the Act 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 on issues as to which an arbitration agreement has been signed.” Dean Witter, 470 U.S. 213, 218, 105 S.Ct. 1238 (1985).

In interpreting the FAA, the First Circuit has held that a party who attempts to compel arbitration must show that (1) a valid agreement to arbitrate exists, (2) that the movant is entitled to invoke the arbitration clause, (3) that the other party is bound by that clause, and (4) that the claim asserted comes within the clause’s scope. InterGen N.V. v. Grina, 344 F.3d 134, 142 (1st Cir.2003); see also Soto-Alvarez, 561 F.Supp.2d 228, 230 (D.P.R.2008); Sanchez-Santiago v. Guess, Inc., 512 F.Supp.2d 75, 78 (D.P.R.2007); Milliman, Inc. v. Health Medicare Ultra, Inc., 641 F.Supp.2d 113, 117 (D.P.R.2009). 4 If there is a valid arbitration clause, and the controversy falls under its scope, the court will direct the parties to proceed to arbitration unless the party compelling arbitration has waived the right to do so, or there exists grounds for revocation of the contractual agreement. See Combined Energies v. CCI Inc., 514 F.3d 168, 171 (1st Cir.2008) (citations omitted).

In general, agreements to arbitrate are “generously construed.” Mitsubishi Motors Corp. v. Soler Chrysler-Plymouth, Inc.,

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685 F. Supp. 2d 280, 2010 U.S. Dist. LEXIS 14925, 2010 WL 563448, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jorge-colon-v-mandara-spa-puerto-rico-inc-prd-2010.