L. Stroope v. Luter
Real estate agents Brook and Marc Luter (appellants) terminated their contractual relationship with broker, L. Stroope, Inc. (respondent), which led to a dispute over commissions earned by appellants on pending real estate sales. Pursuant to the parties written agreement, appellants submitted a complaint for arbitration of the dispute. However, when complications caused delay in the selection of an arbitration panel, respondent filed a civil lawsuit in the Kern County Superior Court. The lawsuit included the parties commission dispute but also added other tort and contract causes of action. Appellants petitioned the superior court to compel arbitration of the matters set forth in respondents lawsuit. The court denied the petition on the ground that a 180-day deadline provision for filing an arbitration complaint had expired, resulting in a waiver of the right to arbitrate. Appellants appeal, contending the trial court erred in its interpretation of the filing deadline. We agree. Under a proper construction of the subject provision, the arbitration complaint was timely filed as to nearly all of the pending escrows involved in the commission dispute. Furthermore, the claims set forth in respondents lawsuit were within the scope of the parties broadly worded arbitration clause. Accordingly, Court reverse the order denying the petition to compel arbitration and remand with instructions to enter a new order granting the petition, except as otherwise indicated herein.
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