No Code of Civil Procedure section 128.7 Sanctions For Proceeding With Arbitration.

At the time the trial court confirmed an arbitration award in favor of defendants, it also denied a separate defense motion for sanctions made under Code of Civil Procedure section 128.7 for advancing frivolous claims. The appellate court noted the primary purpose of section 128.7 is deterrence of filing abuses, not to provide compensation for those impacted by those abuses. In affirming, the Court of Appeal stated:  “There is no authority supporting the position that a superior court, after a matter has been stayed and ordered to binding arbitration, may impose section 128.7 sanctions for an attorney’s prosecution of a client’s meritless claim before the arbitrator.” (Optimal Markets v. Salant (Cal. App. Sixth Dist.; November 26, 2013) 221 Cal.App.4th 912, [164 Cal.Rptr.3d 901].)