Tiri

Tiri v. Lucky Chances, Inc.

Caution
171 Cal. Rptr. 3d 621·2014 Cal. App. LEXIS 423·226 Cal. App. 4th 231·38 I.E.R. Cas. (BNA) 508
Court of Appeal of CaliforniaMay 15, 2014A136675California6,575 words

Opinion

Opinion

Humes, J.

Several years after she was hired, Lourdes Tiri signed an agreement with her employer, Lucky Chances, Inc., requiring disputes between them to be resolved by arbitration. In one of the provisions, the parties agreed to delegate questions about the enforceability of the agreement to the arbitrator; instead of a court. Tiri was subsequently fired, and she filed a complaint in superior court for wrongful discharge. Lucky Chances petitioned to compel arbitration, but the trial court denied the petition on the basis that the arbitration agreement was unconscionable and therefore unenforceable.

Lucky Chances appeals the court’s order denying arbitration. We hold that the trial court lacked the authority to rule on the enforceability of the agreement because the parties’ delegation of this authority to the arbitrator was clear and is not revocable under state law. Accordingly, we reverse.

I.

Factual and Procedural Background

More than three years after she was hired as a cook by Lucky Chances, a card club casino and restaurant in Colma, Tiri was asked and agreed to sign a mutual agreement to arbitrate claims (the agreement). Five years later, Tiri was fired, allegedly while…

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