CA STATECalifornia Supreme Court
1992

Moncharsh v. Heily & Blase

832 P.2d 899California Supreme Court • Decided 1992Enforced
FLAGSHIPDispute ResolutionCited 746 times

HOLDING

An attorney hired by a law firm signed a non-solicitation agreement and later left to work elsewhere. When clients followed him, the firm demanded 80% of his fees from those clients under the contract. The California Supreme Court ruled that arbitrators' decisions on contract disputes are final and cannot be overturned just because they made mistakes on the facts or law. The only exceptions are fraud, corruption, abuse of power, or serious procedural unfairness. This means subcontractors should expect arbitration awards to stick, even if they believe the arbitrator got it wrong.

KEY FINDINGS

Dispute Resolution

Arbitration decisions are nearly final—you cannot appeal just because you think the arbitrator made a legal or factual error, so choose arbitration carefully

FULL COURT OPINION