San Francisco Housing Authority v. SERVICE EMPLOYEES INTERNAT. UNION, LOCAL 790

INTRODUCTION

“California law allows a court to correct or vacate a contractual arbitration award if the arbitrators ‘exceeded their powers.’ [Citations.]” (Advanced Micro Devices, Inc. v. Intel Corp. (1994) 9 Cal.4th 362, 366 [ 36 Cal.Rptr.2d 581 , 885 P.2d 994 ] (Advanced Micro Devices).) Here, the San Francisco Superior Court vacated an arbitrator’s award in its entirety on the ground that the remedy fashioned by the arbitrator was contrary to layoff provisions of the memorandum of understanding (MOU) between defendant Service Employees International Union, Local 790 (Union) and plaintiff San Francisco Housing Authority (Housing Authority) and, therefore, exceeded the arbitrator’s power. The Union appeals from the judgment, contending (1) the arbitrator’s remedy is rationally related to the violation she found; (2) the remedy she ordered was not precluded by any provision of the agreement; and (3) the arbitrator acted within her authority based upon the parties’ stipulation in submitting the matter to arbitration that if a breach of the MOU was identified, the arbitrator would determine the appropriate remedy. We shall conclude the arbitrator did not exceed her powers…