Arbitration Is ” Trial On The Merits. ”

After plaintiffs lost their contract claim in judicial arbitration, and the arbitrator awarded attorney fees to defendants, plaintiffs, after first filing a demand for trial de novo, filed a voluntary dismissal of their action. Defendants moved for judgment on the attorney fee award and the trial court granted the motion. Plaintiffs appealed, contending that, before judgment was entered, they could voluntarily dismiss the action whereupon the trial court lost jurisdiction to make further orders. The Court of Appeal disagreed. A plaintiff may not voluntarily dismiss after commencement of a trial on the merits. An arbitration is such a trial on the merits and plaintiffs had lost their right to dismiss.  Lee v. Kwong (Cal. App. First Dist., Div. 5; March 29, 2011) 193 Cal.App.4th 1275, [123 Cal.Rptr.3d 633].