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Dispute Resolution Keyed to Carbonneau, 8th Ed.
Preston v. Ferrer
Citation:
552 U.S. 346, 128 S. Ct. 978, 169 L. Ed. 2d 917 (2008)Facts
Arnold Preston, a California attorney who provided services to entertainment industry professionals, entered into a contract with Alex Ferrer, a former Florida judge who appears as “Judge Alex” on television. The contract designated Preston as Ferrer’s “personal manager” and included an arbitration clause stating that “any dispute relating to the terms of the contract or the breach, validity, or legality thereof” would be submitted to arbitration under American Arbitration Association rules. When Preston sought fees allegedly due under the contract, Ferrer claimed that Preston had acted as a talent agent without the license required by California’s Talent Agencies Act (TAA), rendering the contract void. Ferrer petitioned the California Labor Commissioner to decide this issue, as the TAA grants the Commissioner “exclusive original jurisdiction” over such disputes. Preston moved to compel arbitration pursuant to their agreement. The California courts ruled that the Labor Commissioner must first determine whether Preston had acted as an unlicensed talent agent before any arbitration could proceed.
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