Ontario v. Emmett Furla Oasis Films CA2/2
This litigation follows the alleged breach of two contracts: a bridge loan agreement, which contains an arbitration provision, and a guaranty of that loan agreement, which does not contain an arbitration provision. When the borrower did not repay the monies loaned, plaintiff and respondent 902878 Ontario Ltd. (the lender) brought this action against defendants and appellants Emmett Furla Oasis Films, LLC (EFO) (the guarantor) and Randall Emmett (Emmett), alleging breach of the guaranty and fraud. In response, defendants filed a motion to compel arbitration, asserting that the arbitration provision set forth in the bridge loan agreement controls. The trial court denied defendants’ motion, finding that the gravamen of plaintiff’s claims was breach of the guaranty, which does not contain an arbitration provision, not breach of the bridge loan agreement.
Comments on Ontario v. Emmett Furla Oasis Films CA2/2