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Hello, 

Beforehand I would like to thank everyone because this forum has helped me tremendously.  I had 2 cases filed against me,  I was able to obtain a dismissal on one as soon as I filed my MTC. 

Well the other did not go as smoothly today......

Filed MTC 01/20/18, AZ Justice court approved arbitration 02/06/18 and received order to initiate arbitration

Filed for arbitration 02/22/18, arbitration said they were backed up and did not start working my case until 04/03/18

Arbitration did not start process or any mailings to any parties until 04/03/18

Today was my trial and I was pretty confident all I needed was my confirmation of the arbitration case being file 02/22/18 and copy of the letter sent to JH Portfolio on 04/03/18 requesting fees to be paid to initiate the arbitration case.

Well pretty much the judge did not care I had confirmation of filed a case with AAA, he read the letter to JH portfolio letting them know the needed to send fees by 04/17/18. After reviewing confirmation and letter judge initiated the trial and entered judgement against me for the amount owed. I was not prepared for trial, I assumed my receipt and letter would be sufficient to stay further proceedings.

I'm contemplating an appeal, what are my chances?  It seems an appeal would go to Superior court, my main basis for the appeal is that arbitration was filed, started and was pending the receipt of fees from the other party, at this point AZ Justice court should have allowed more time for arbitration to proceed.....

Thanks,

 

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This seems like a pretty blatant disregard of A.R.S. §12-1502(D ):

"Any action or proceeding involving an issue subject to arbitration shall be stayed if an order for arbitration or an application therefor has been made under this section or, if the issue is severable, the stay may be with respect thereto only. When the application is made in such action or proceeding, the order for arbitration shall include such stay."

I would absolutely appeal this.  You only have 14 days to provide your notice of appeal.  There is a $75 appeal fee payable to the Justice Court when you file your notice of appeal.  You can request a waiver or deferral of this fee when you file your notice of appeal.  When I did mine, I had to wait around an hour or so for the judge to rule on my waiver application.  There are two additional bonds that you pay to the Justice Court at the time of your appeal notice.  One is cost bond to cover the appellee's (Portfolio, in this case) legal fees on appeal. You can request a waiver of the cost bond.  Portfolio almost certainly has a 'flat fee' agreement with their attorney, meaning it will cost them nothing to respond to your appeal.  For this reason, most of the time JDBs don't even make an objection to the cost bond waiver application.

The other bond is a supersedeas bond.  This is an optional bond equal to the amount of the judgment to prevent Portfolio from moving ahead with collection of the judgment.  You are not required to put up this bond, however Portfolio could move ahead with garnishment/levy proceedings if you don't.  

The last fee is payable to the Superior Court when they accept your appeal.  I think it took 2 or 3 weeks for them to send me the notice for this fee and then I had another week or so to get down there and pay it.  I asked for a waiver of this fee.  The clerk told me he could grant me a payment plan for the full amount on the spot, or I could wait to see a judge if I still wanted the waiver.  I took the payment plan.  IIRC, it was $50 that day and $100/month for 3 months.  Something like that.

I journaled my appeal here.  My first post contains links to the resources I used:
https://www.creditinfocenter.com/community/topic/323330-arizona-lost-to-cavalry-on-msj-also-lost-on-appeal/

 

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Awesome! Please keep us updated. The meaning of "stay" from 12-1502 has been a topic of mild debate here and I've been interested to see how the JC appeals court will rule.

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Well... Very happy to report back and let you know that I successfully received a Reversal and Limited remand court of appeals. 

I'm not sure how to proceed next, as the AAA arbitration case was closed out 06/05/18 while the appeal process played out,  it was closed as the fees were never paid by JH Portfolio debt equities or their attorneys. 

Should I file for arbitration again with AAA?

 

Thanks,

IMG_0003.pdf

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Other's with more arb experience will chime in, but I'd think you could inform plaintiff of this ruling and see if they just want to dismiss, or go through the same thing again. Obviously they aren't going to pay arb fees and your ruling means they aren't getting this back in court.

 

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I wouldn't do anything. The case will get bounced back to JC.  The judge there will grant the MTC and JHP will dismiss. 

Well done, BTW! I for one am very grateful to you for obtaining this appeal ruling for us here in AZ.

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Did you ever file a Motion to Compel Arbitration in the original case.  It looked as if you never did this and that was the basis of your issue.  Now that it is remanded back to court, I would immediately file an MTC.  I would not worry about AAA at all until the court grants my MTC.

Only AFTER the court grants my MTC will I then email AAA with the original case number and a copy of the granted MTC and ask them to re-open the case per the court's order.

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I sure did.... Filed MTC 01/20/18, AZ Justice court approved arbitration 02/06/18 and received order to initiate arbitration Filed for arbitration 02/22/18. Trial and judgement entered on 04/05/18.  Appeal process started immediately.

AAA Closed the case 06/05/18 during the appeal process.  From the case history I see the Judgement now removed  and I have received notice of a pre-trial conference for 11/27/2018.

Thanks!

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6 hours ago, lesmir said:

I sure did.... Filed MTC 01/20/18, AZ Justice court approved arbitration 02/06/18 and received order to initiate arbitration Filed for arbitration 02/22/18. Trial and judgement entered on 04/05/18.  Appeal process started immediately.

AAA Closed the case 06/05/18 during the appeal process.  From the case history I see the Judgement now removed  and I have received notice of a pre-trial conference for 11/27/2018.

Thanks!

Wow. In that case, I might work up a motion for sanctions and dismissal with prejudice to file prior to the court date.  I would recite the history of the case to remind the judge that the court granted your MTC on whatever date, that you filed the arbitraiton case on whatever date (include evidence) and that the Plaintiff failed to comply with the arbitration rules and communications from AAA and therefore the case was closed due to their non participation, and then without notifying Defendant, Plaintiff sought a default judgement in violation of the court's order to arbitrate and stay the case.  I would ask for sanctions due to their blatant violation of the court's previous order and for filing a motion for default judgement without noticing Defendant while the case was stayed.  I would ask that as part of the sanctions the court grant Defendant a dismissal with prejudice.

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