MOTION TO COMPEL ARBITRATION

(CCP § 1281.2)

TENTATIVE RULING:

Plaintiffs Melvin E. Sanchez and Manuel R. Cortez’s Motion to Compel Arbitration is GRANTED IN PART and DENIED IN PART.

ANALYSIS:

I. Background

On May 30, 2019, Plaintiffs Melvin E. Sanchez and Manuel R. Cortez (collectively, “Plaintiffs”) filed this action for violation of consumer rights and for unfair business practices against Defendants Austra Motors, Inc. (“Astra”) and Veros Credit, LLC (“Veros”) (collectively, “Defendants”). This action arises from a dispute over Plaintiffs’ purchase of a used vehicle, namely a 2014 Kia Optima, from Astra. (Compl. ¶¶ 3, 14.) Veros is the holder of that sales contract of the vehicle. (Id. ¶ 6.)

On October 22, 2018, Plaintiffs initiated arbitration under the sales contract with the American Arbitration Association (“AAA”). (Motion, Heydari Decl. ¶ 6.) In October and November 2018, AAA sent letters to Defendants informing them that under the sales contract, they were required to a