Sprunk

Sprunk v. Prisma LLC

Good Law
14 Cal. App. 5th 785·2017 Cal. App. LEXIS 731·222 Cal. Rptr. 3d 339·2017 WL 3614265
Court of Appeal of CaliforniaAugust 23, 2017B268755California10,527 words

Opinion

lead Opinion

Lui, J.

*788 The primary issue presented in this appeal is whether a defendant in a putative class action can waive its right to compel arbitration against absent class members by deciding not to seek arbitration against the named plaintiff. In deciding that issue, we must also consider the scope of the "futility" rule, which excuses a party in some circumstances from seeking to enforce an arbitration right when the state of the law at the time would make the effort futile.

We agree with the trial court that, under the circumstances of this case, defendant and appellant Prisma LLC, doing business as Plan B Club (Plan B) waived its right to seek arbitration by filing and then withdrawing a motion to compel arbitration against the named plaintiff, Maria Elena Sprunk, and then waiting until after a class had been certified to seek arbitration against class members. We therefore affirm the trial court's denial of Plan B's motion to compel arbitration.

*789 BACKGROUND

Sprunk is the named plaintiff in a wage and hour class action that the trial court certified on April 24, 2015. Plan B owns and operates a bar and restaurant in Los Angeles in which exotic (i.e., bikini-clad) dancers perform.…

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