California Court of Appeal

Order denying defendants' petition to compel arbitration of plaintiff's claims for damages related to defendant's provision of advice concerning plaintiff's purchase of investments offered by CapWest Securities, Inc., is reversed and remanded, where: 1) defendants may enforce the arbitration clause of the account agreement between plaintiff and CapWest as agents or third party beneficiaries; 2) even though CapWest became defunct and under FINRA Rule 12202 lost its right to enforce the arbitration clause, defendants nevertheless retained their rights to do so; and 3) the matter is remanded to the trial court for further consideration of plaintiff's argument that the trial court has discretion to deny the motion under Code of Civil Procedure section 1281.2(c) .

Appellate Information

• Decided 05/24/2013
• Published 05/23/2013

Judges

• IRION

Court

• California Court of Appeal

Counsel