California, United States of America
The following excerpt is from White v. Dupont Residential Care, Inc., G048204 (Cal. App. 2014):
Defendants' argument is again contrary to the trial court's findings. While "'courts will not find prejudice where the party opposing arbitration shows only that it incurred court costs and legal expenses[,]' . . . courts '"may consider . . . the expense incurred by that party from participating in the litigation process"' and the length of delay as factors bearing on whether the opposing party has been prejudiced. [Citation.] '[T]he critical factor in demonstrating prejudice is whether the party opposing arbitration has been substantially deprived of the advantages of arbitration . . . .'" (Lewis v. Fletcher Jones Motor Cars, Inc. (2012) 205 Cal.App.4th 436, 452.) Here, the trial court expressly found the 14-month delay, plus "extensive litigation engaged in" to the point where the case was "close to being ready for trial," resulted in "defeat[ing] the 'strong policy in favor of arbitration as a speedy and relatively inexpensive means of dispute resolution.'"
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