Templeton Development Corp. v. Superior Court
Opinion
Opinion
Cantil-Sakauye, J.
On January 23, 2006, real party in interest Dick Emard Electric, Inc. (Emard), an electrical contractor, sued petitioner Templeton Development Corporation (Templeton), a general building contractor based in Nevada, for breach of contract, common counts, violation of Civil Code section 3260, and violation of Business and Professions Code section 7108.5. Also included in the complaint were causes of action against petitioners Carefree Natomas Limited Partnership; Carefree Natomas, LP; and CALGP Corporation on a stop notice and to foreclose on a mechanic’s lien. Emard’s claims involve materials, labor and equipment supplied for construction of an apartment complex known as Carefree Natomas in Sacramento.
Petitioners unsuccessfully moved to dismiss Emard’s complaint on the ground of inconvenient forum. They argued the subcontract agreement between Emard and Templeton required Emard to submit the dispute to mediation or arbitration in Las Vegas, Nevada, before filing suit. The court ruled that Code of Civil Procedure section 410.42 (section 410.42) rendered the out-of-state mediation provision unenforceable.