Sabia

FACTS AND PROCEDURAL HISTORY

Frank Sabia and eight other persons filed a class action complaint against mortgage foreclosure consultant The Home Defender Center and several other persons and entities allegedly affiliated with Home Defender for fraud, breach of contract, and other statutory and common law claims, alleging that they were duped into signing their agreements and lost the money they paid for services that were never rendered.

The plaintiffs were Frank and Elidia Sabia, Armando Flores, Eladio and Blanca Campos, George and Melissa Cruz, and Raul and Rita Venegas. We will refer to them collectively as plaintiffs. Plaintiffs’ individual claims ranged from $3,500 to $4,500. 2 Defendants brought a petition to compel arbitration based on the following provision in their written agreement with plaintiffs: “If a dispute arises between Home Defender Center and Client regarding Home Defender Center’s actions under this agreement and Client files suit in any court other than small claims court, Home Defender Center will have the right to stay that suit by timely electing to arbitrate the dispute under the Business and Professions Code, in which event Client must submit…