Ms:%'. J !

'ENDORSED
F. Clin Kirschner. Jr. (State Bar No. 122502)
Matthew J. Silveira (State Bar No. 264250)
Kelsev Israel-Trummel (State Bar No. 282272)
JONES DAY
555 Califomia Street. 26th Floor
San Francisco. CA 94104
Telephone:
(415)626-3939
Facsimile:
(415) 875-5700
Email:
cki rschner@ J onesDay. com
msilveira(il!JonesDay.com
kitrummel(@JonesDay.com

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'2D!6 JUNM6 ?f112:36

CDSSC CClJRTHOfJSl::
SL-PEPJOR COUFtT
OF CALIFORHIA
;SACRAK';E;MTO;C01INT^I'

Jeffrev A. Levee (State Bar No. 125863)

JONES DAY
555 South Flower Street. Fiftieth Floor
Los Angeles. CA 90071
Telephone:
(213)489-3939
Facsimile:
(213) 243-2539
Email:
jlevee()JonesDay.com
.Attomevs for Petitioner
CALIFORNIA HOSPITAL ASSOCIATION

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S U P E R I O R C O U R T O F T H E ST.4TE O F C A L I F O R N I A

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COUNTV OF SACRAMENTO

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CALIFORNIA HOSPITAL ASSOCIATION.

Petitioner,

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SEIU, UNITED HEALTHCARE WORKERS

- WEST.

Case No. 34-2016-00189567

PETITIONER CALIFORNIA
HOSPITAL ASSOCIATION'S NOTICE
OF PETITION T O CONFIRM
A R B I T R A T I O N AVVARD;
MEMOR.4NDUM O F POINTS AND
A U T H O R I T I E S IN SUPPORT
THEREOF

Respondent.
[Filed Concurrently with Petition to
Confirm]
Date:
Time:
Dept:
Judge:

June 24.2016
2:00 p.m.
53
Hon. David 1. Brown

Scheduled to be heard on shortened time

pursuant to June 14. 2016 Order
Shortening Time

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Petition Filed:

Januarv 26.2016

CIIA S NOTICE OF PET. TO CONFIRM .WD MM. OF P&.\: Case No. .U-2016-00189567

1 O ALL PAR! IES AND THEIR COUNSEL OF RECORD:

PLEASE TAKE NOTICE THAT on June 24. 2016 at 2:00 p.m. in Department 53 ofthe
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above-entitled court. located ;it 720 9th Street. Sacramento. Califomia. before the Honorable

David 1. Brown, Petitioner CALIFORNIA HOSPITAL ASSOCIATION ("CHA") will, and

hereby does, petition thc Court to confinn the arbitration award issued and serv ed on June 6,

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2016. pursuant to Califomia Code of Civil Procedure section 1285.

CH.A's Petition is based on this Notice of Petition, the accompanying Petition to Confimi,

the Memorandum of Points and Authorities, and upon all such other matters and arguments as

may be presented to the Court at or prior to the hearing on this Petition. It is scheduled to be

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heard on shortened time as provided in the Court's June 14. 2016 Order, attached hereto as
Exhibit A.

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Dated: June 16, 2016

Jones Dav

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By:

6V'"
F. Curt Kirschner. Jr.

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Attomeys for Petitioner

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CALIFORNIA HOSPITAL ASSOCIATION

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C H A S NO I K K OF PE I . I O C O N F I R M A N D M E M . OF P & A : Cast- No. 34-2016-l)018')567

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MEMORANDUM OF POINTS AND AUTHORITIES

I.

ST.\TEMENT OF FACTS
On March 14. 2016. this Court granted Petitioner California Ho.spital Association's

("CHA") Petition to Compel Arbitration, finding that the parties had entered into a valid

arbitration agreement and ordering CHA and Respondent SEIU. United Healthcare Workers -

West ("UHW") to arbitrate their dispute regarding the Hospital Executive Compensation Act of

2016 (the '"2016 Executive Compensation Initiative") before .Arbitrator Richard L. Aheam.

(Order Granting Petition to Compel Arbitration [Mar. 14. 2016].) The arbitration hearing

commenced on April 13, 2016. but was adjoumed on April 14. 2016 to pennit extensive

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discovery. (See Pet. to Confinn. Attach. 8(c) [Award] at p. 1.) Arbitration hearings resumed on

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May 6, 2016, and continued on May 7, 11. 12. and 13th. (See ibid.) Following the close of

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evidence, both parties submitted exten.sive post-hearing briefs and UHW sought and was given

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pennission to file a supplemental reply brief (See/t7. at pp. 1-2.) On June 6, 2016, the Arbitrator

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issued an opinion and partial final award prohibiting UHW and its agents from pursuing,

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sponsoring or supporting the 2016 Executive Compensation Initiative, which required UHW and

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its agents to immediately withdraw the 2016 Executive Compensation Initiative from the ballot

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qualification process and take any other acts necessary to terminate their pursuit, sponsorship, or

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support of that initiative (the "Avvard"). (/</. al p. 42.)

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ARGUMENT
"Absent a clear expression of illegality or public policy undennining [Califomia's] strong

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presumption in favor of private arbitration, an arbitral award should ordinarily stand immune

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from judicial scmtiny." (Moncharsh v. Heily I'i Bla.'ie (\992) ^ CaX.Ath \, 10.) Moreover, an

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arbitration award may be vacated only on the nartow statutory grounds identified in Code of Civil

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Procedure section 1286.2. (/t/. at 12-13.) Under Code of Civil Procedure section 1280 et seq.,

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"the superior court and the appellate court must give every intendment of validity to an award,

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and the burden is on the party claiming invalidity to support such claim with evidence." (Nat'l

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Marble Co. V. Bricklayers & Allied Craftsmen (1986) 184 CaI.App.3d 1057, 1066: see also

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Painters Dist. Council No. 33 v. Mocn (1982) 128 Cal.App.3d 1032, 1041 ["The burden is on the
CHA S NOTICE OF PET. TO CONFIR.M AND MEM. OF P&A: Case No. 34-2016-0018'J567

pany challenging an arbitration award to establish error or impropnety. [Citations.] In the

absence of such a showing there is no cause to deny confirmation ofthe award. [Citations.]"].)'
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CH.A is not aware of any colorable grounds tor vacatur ofthe Award. .All arguments

4 i bearing any connection to the statutory grounds for \ acating an arbitration award that UHW has
presented to date have been rejected by this Court and denied review by the Court of .Appeals or
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were thoroughly analyzed and rejected by the .Arbitrator. (See Order Granting Petition to Compel

Arbitration [Mar. 14. 2016]; Order Denying Petition for Writ of Mandate [Apr. 8. 2016]: Pet. to

Contlrtn. Attach. 8(c) [Award] at pp. 30-39.)

The fact that the Award includes injunctive relief does not modify the presumptive

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standards for enforcement ofthe Avvard. Substantively, an award of injunctive relief talis within

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an arbitrator's "wide discretion ... to fashion a just remedy, including equitable relief that a court

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may not grant, as long as the remedy is rationally related to the contract and the breach."' (Swan
Magnetics. Inc. v. Superior Court (1997) 56 Cal..App.4tli 1504. 1511 [citations and internal
quotation marks omitted].) The arbitration agreement in this ca.se did not place any limitations on

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the Arbitrator's authority, but in.stead provided that he would "resolve any disputes over the

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application and interpretation of [the Code]" and have "final and binding authority to enforce [the

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Code] and resolve issues that rise during" its course. (Pet. to Confimi, Attach. 4(b) [Code of

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Conduct] 111(B).) Procedurally, "an arbitrator, in order to provide a proper remedy for,the

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prevailing party, may resolve certain critical areas of a dispute in a 'partial final award' but

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reserve jurisdiction to later decide, by a 'final award,' issues which will likely arise as a result of

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the implementation of that remedy.'' (Highiower v. Superior Court (2001) 86 Cal.App.4th 1415,

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1419 [emphasis in original].) Partial final awards are immediately confirmable. (/c/. at 1420.)

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' CHA understands UHW will be petitioning to vacate the Award. CFIA will respond to
any arguments made in UHW's petition pursuant to the schedule included in the Court's order
setting the brieiing and hearing schedule in this matter.
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CIIA'S NOTICE OF PET. TO CONFIRM AND MK.M. OF P&TATCase No. .34-20I6-00189.;67

1
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For these reasons, CHA's Petition to Confinn should be granted.

Dated: June 16. 2016

JONES DAY

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By:F. Curt_J^Ji2ljS^--^
Kirschner. Jr
Attomeys for Petitioner
CALIFORNIA HOSPITAL ASSOCIATION

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CIIA^S NOTICE OF PET. TO CONFIRM AND MEM. OF P&A: Case No. 34-2016-00189f?67

EXHIBIT A

1 . Curt Kirschner. Jr. (State Bar No. 122502!

M.itthe\v j . Silveira iStaie Bar No. 264250)
Keiscv Israel-Trummel (Sl.nc Bar Nu. 282272)
JONES D.AY
555 Califomia Street, 26th Floor
San Francisco. C.A 94104

4 i felephonc:
F.icsimile:
Email:
f

(415) 626-3939
(415) 875-5700
ckirschnerwJonesDay.com
msilveirai JonesDay.com
kiirummei{2iJonesDay.com

JefTrev A. LeVee (State Bar No. 125863)

JONES DAY
South Flower Street. Fi(tie(h Floor
7 I 555
Los Angeles. CA 90071
8 I Telephone: (213)489-3939
a Facsimile:
(213) 243-2539
9 5 Email:
j 1 e v eefa) J on es Da y. c om
f:

io i

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Attomevs for Petitioner

CAt-irORNIA HOSPITAL ASSOCIATION

!3 :;

SUPERIOR COURT OFTHE STATE OF CALIFORNIA

-!4-ti

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COUNTY OF SACRAMENTO

CALIFORNIA HOSPITAL ASSOCIATION.

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tPffnpmynj ORDER SHORTENING

TIME ON PETITIONS TO CONFIRM
AND VACATE ARBITRATION
AWARD

Petitioner.

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- WEST,

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Respondent.

Case No. 34-2016-00189567

WORKERS
Date:
Time:
Dept.:
Judge:

June 15. 2016

9:00 a.m.
53
Hon. David L. Brown

Petition Filed:

January 26, 2016

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IPROPOSEDI ORDER SHORTENING TIME; Case No. 34-2016-00189567

This mailer came before ihc Cmiri on Petiiioner California Hospital Association s
r Cl f.A'") .v Parle Applicafion l or An Order Shortening Time On Petitions To Conllrm And
Vacate .Arbitration Award. Good cause appearing, the Court hereby GRANTS CHA s Fix Parte
Application and ORDERS as fbllows:
1.

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West. 'UHW") shall file its Petition to Vacate on June 16. 2016. Each party shall serve a cs.py of
its Peiition on counsel lor the other by personal delivery or electronic mail.

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at 9:00
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CHA shall file its Petition to Co.nfirm and SEIU, United Healthcare Workers -

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Each party shall file any response to the other's petition on or before June 2^, 2016 j

a.m. Each party shall serve a copy of any response on counsel for the other by personal

delivery or electronic mail, and shall deliver a courtesy copyy to Depanment

Depanment SZJM-I
53AJ^j f
3.

A hearing on the cro.ss-petitions is set for June 24. 2016 a!

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/ H - ^' '

atzn. p m in
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Counsel tor CHA is Ordered to immediately ser\c a copy ofthis Order by pcrscnal j

~d'eliver> oTeleclroffic mail~on counseTTor UHW"

IT IS SO ORDERED.

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Dated: June 15. 2016

Hon. Dav id L. Brown
Superior Court Judge

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'PROPOSED! ORDFR SHORTENING TIME; Case No. 34-2016-O0189567