Juiceme, LLC et al v. Booster Juice Limited Partnership et al

Filing 81

Order Confirming Arbitration Award and Judgment. Signed on 06/24/2013 by Judge Anna J. Brown. (bb)

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UNITED STATES DISTRICT COURT DISTRICT OF OREGON, PORTLAND DIVISION JUICEME, LLC, an Arizona limited liability company; JUICEME I, LLC, an Arizona limited liability company; JUICEME II, LLC, an Arizona limited liability company; JUICEME III, LLC, an Arizona limited liability company; JUICEME, IV, LLC, an Arizona limited liability company; MIKE NEILL, an individual; PHI NGUYEN, an individual Cas~-cv-1506 BR fPR 6SEDj ORDER CONFIRMING ARBITRATION AWARD AND JUDGMENT Plaintiffs, v. BOOSTER JUICE LIMITED PARTNERSH IP dba BOOSTER JUICE; A W LIMITED PARTNERSH IP, an Oregon Limited Partnership; A W HOLDINGS, INC., a Nevada corporation; A W HOLDINGS CORPORATI ON dba BOOSTER JUICE, an Alberta, Canada corporation; DALE WISHEWAN , individually and in his official capacity; JONATHAN AMACK, individually and in his official capacity; and DOES 1-5, INCLUSIVE, Defendants. FINDINGS Before this Court is the Petition for Order to Confirm Arbitration Award ("Petition") filed by Plaintiffs JuiceMe, LLC, JuiceMe I, LLC, JuiceMe II, LLC, JuiceMe III, LLC, JuiceMe, IV, LLC, PAGE 1 -ORDER AND JUDGMENT Mike Neill and Phi Nguyen's (collectively, "Plaintiffs"). Plaintiffs seek an order confirming the Final Arbitration Award dated November 8, 2012 and served on the parties by the Intemational Centre for Dispute Resolution ("ICDR"), a division of the American Arbitration Association ("AAA"), in the arbitration proceeding entitled JuiceMe, LLC, eta!. v. Booster Juice Limited Partnership dba Booster Juice, eta/., ICDR case number 50 114 T 00811 10 ("the Final Arbitration Award"). The Court, having considered the submissions of the parties, the entire case file and applicable legal authority, hereby GRANTS Plaintiffs' Petition and orders JUDGMENT for the reasons that follow: On or about December 16, 2010, Plaintiffs initiated an arbitration proceeding against Defendants, among others, asserting claims for (I) violation of the Oregon Franchise Act, O.R.S. §§ 650.020, et seq., (2) Intentional Misrepresentation, (3) Negligent Misrepresentation, (4) False Promise, (5) Fraudulent Suppression of Fact, (6) Unfair Business Practices, O.R.S. § 646.638, (7) Breach of Contract- RDA, (8) Breach of Contract- Franchise Agreements, (9) Breach of the Covenant of Good Faith and Fair Dealing; (10) Breach of Contract- Rescission ofRDA; (11) Breach of ContractRescission of Franchise Agreement; (12) Indemnification of Obligations of Plaintiffs under Lease; (13) Breach of Contract- Damages for Failure to Pay Arbitration Costs; and (14) Request for Injunctive Relief. Plaintiffs initiated the arbitration in accordance with the parties' binding arbitration agreements. The making of the arbitration agreements is not at issue and are therefore considered by the Court to be valid and enforceable agreements to arbitrate. The !CDR appointed arbitrator Jeffery M. Batchelor, Esq. ("Arbitrator") to serve as the sole arbitrator in the case. A full evidentiary hearing was conducted from February 20, 2012 through March 9, 2012, in Portland, Oregon. During the hearing, both parties submitted live witness testimony and exhibits. On November 8, 2012, the Arbitrator issued a detailed Final Arbitration Award finding in favor of Plaintiffs and against Defendants. A copy of the Final Arbitration Award was served on both parties by the !CDR on November 12,2012, and is attached hereto as Exhibit A. PAGE2-0RDERANDJUDGMENT This Court finds that it has jurisdiction over this matter, personal jurisdiction over Defendants, and that the United States District Court for the District of Oregon is a proper venue for the confirmation of the Final Arbitration Award. The Federal Arbitration Act, 9 U.S.C. § 9, requires a comt to confirm an arbitration award "unless the award is vacated, modified, or corrected as prescribed in sections I 0 and 11" of the FAA. 9 U.S.C. § 9; see United Food & Commercial Workers In!' I Union, Local 588 v. Foster Poult!)' Farms, 74 F.3d 169, 173 (9th Cir. 1995) (holding that award must be confirmed if arbitrator even arguably construed or applied contract and acted within the scope of its authority). Here, Defendants have urged no grounds to vacate, modify or correct the award; therefore, as a matter of law, Plaintiffs are entitled to confirmation of the Final Arbitration Award. Accordingly, the Court finds as follows: ORDER IT IS HEREBY ORDERED that the Petition is GRANTED and the Final Arbitration Award dated November 8, 2012 in the matter between Plaintiffs and Defendants, a true and correct copy attached hereto as Exhibit A and incorporated by reference herein, is CONFIRMED in its entirety. JUDGMENT The Court having granted Plaintiffs' Petition issues JUDGMENT as follows: a) In favor of Plaintiffs and against Defendants, jointly and severally, for the award of damages in the amount of $968,260.92, together with interest at the Oregon legal rate of9% until the date of this Judgment; b) In favor of Plaintiffs and against Defendants, jointly and severally, for the award of attorneys' fees and costs in the sum of $343,932.94, together with interest at the Oregon legal rate of 9% from November 8, 2012 until the date of this Judgment; c) In favor of Plaintiffs and against Defendant Booster Juice Limited Partnership for the award of damages in the amount of $270,403, together with interest at the Oregon legal rate of 9% from January 22, 2008 until the date of this Judgment; d) In favor of Plaintiffs and against Defendant Booster Juice Limited Partnership for the award of attorneys' fees and costs in the sum of $251,826.90, together with interest at the Oregon legal rate of 9% from November 8, 2012 until the date of this Judgment; PAGE 3 -ORDER AND JUDGMENT e) In favor of Plaintiffs and against Defendants, jointly and severally, for the additional award of costs in the sum of $5,725.00, together with interest at the Oregon legal rate of 9% from November 8, 2012 until the date of this Judgment; f) Plaintiffs shall recover their costs and attorneys' fees associated with confirming the Final Arbitration Award; and g) Plaintiffs are entitled to post-judgment interest specified in 28 U.S.C. § 1961 on all amounts awarded to them from the date of this JUDGMENT until paid. The clerk of this Court shall forthwith enter this judgment in the records of the Court. IT IS SO ORDERED. Dated~ d..Y, 2013 DISTRICT COURT JUDGE Prepared and submitted by: James M. Mulcahy (California SBN 213547) jmulcahy@mulcahyllp. com MULCAH YLLP Four Park Plaza, Suite 1230 Irvine, California 92614 Telephone: (949) 252-93 77 Facsimile: (949) 252-0090 Admitted pro hac vice Attorneys for Plaintiffs PAGE 4- ORDER AND JUDGMENT

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