Mathewson v. BDO Seidman
Filed 4/5/06 Mathewson v. BDO Seidman CA1/3
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IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA
FIRST APPELLATE DISTRICT
DIVISION THREE
ERIC MATHEWSON, Plaintiff and Respondent, v. BDO SEIDMAN, et al., Defendants and Appellants. | A109708 (San Francisco County Super. Ct. No. 04-434495) |
BDO Seidman, LLP and Francois Hechinger (collectively, BDO) timely appeal from an order denying BDO's motion to stay proceedings and to compel arbitration under an arbitration provision contained in a contract between BDO and plaintiff Eric Mathewson. The issue is whether Mathewson and BDO are parties to an enforceable arbitration agreement. We conclude they are, and we reverse. We also conclude the arbitration provision's terms prohibiting punitive damages and shifting costs and fees are unenforceable and are severable. We further conclude Mathewson's claim seeking injunctive relief pursuant to Business and Professions Code section 17200 et seq. is not arbitrable and should be stayed pending arbitration.
BACKGROUND[1]
During the time relevant to this action, Mathewson was the CEO and owner of Prescient Capital L.L.C. (Prescient), an investment advisory firm.[2] Mathewson has â€