Mesquite Lake Associates v. Lurgi Corp.

Good Law
754 F. Supp. 161·91 Daily Journal DAR 1022·1991 WL 3936·1991 U.S. Dist. LEXIS 590
United States District Court, Northern District of CaliforniaJanuary 2, 1991C-90-2794-JPV-ARBCalifornia1,678 words

Opinion

Opinion

Vukasin, J.

OPINION AND ORDER DENYING DEFENDANTS’ PETITION TO COMPEL ARBITRATION AND DENYING DEFENDANTS’ MOTION TO STAY ALL PROCEEDINGS PENDING ARBITRATION

INTRODUCTION

Defendants’ Petition to Compel Arbitration and Motion to Stay All Proceedings Pending Arbitration were scheduled to be heard on December 13, 1990. After a review of the briefs, this court considered it appropriate to submit the petition and motion on the pleadings pursuant to Local Rule 220-1, and now DENIES both the petition and the motion.

BACKGROUND

Plaintiff Mesquite Lake Associates (“Mesquite”) contracted with defendant Lurgi Corporation for the construction in Imperial County of an electrical power generation plant fired by manure. The contract was entered into on December 31, 1984, and the plant is now in operation, but the course of the parties’ relationship under the contract was not altogether amicable. A panoply of disputes has arisen, essentially focusing on whether the plant meets the terms of the contract, and On May 30, 1990, Mesquite filed a complaint in the Superior Court of Marin County, alleging seven breach of contract and tort causes of action. On September 28, 1990, Lurgi removed the action to this…

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