Nature of Proceedings: Petition Compel Arbitration/Stay
Petition to Compel Arbitration

RULING:

Plaintiff’s petition to compel arbitration of defendant’s cross-complaint is denied.

BACKGROUND:

Plaintiff Stardancer, LLC is a dance studio located in Santa Barbara. Defendant Felipe Castaneda is a dance instructor formerly employed by plaintiff. Defendant voluntarily resigned from his employment with plaintiff effective March 25, 2011. Plaintiff claims that after defendant resigned from his position with the dance studio, he misappropriated proprietary and trade secret information belonging to plaintiff, including instruction techniques, marketing techniques, and pricing techniques, in order to induce plaintiff’s customers and students to break their agreements with plaintiff and purchase dance instruction from defendant instead. On April 15, 2011, plaintiff filed suit against defendant for (1) breach of contract, (2) interference with contractual relations, (3) violation of the U