Existing law relating to arbitration of attorney’s fees tolls the time for filing a civil action seeking judicial resolution of a dispute subject to arbitration from the time an arbitration is initiated in accordance with rules adopted by the board of trustees of the State Bar of California until 30 days after receipt of notice of the award of the arbitrators or receipt of notice that the arbitration is otherwise terminated, whichever comes first. Existing law prohibits commencement of arbitration if a civil action requesting the same relief would be barred by existing law governing the time of commencing civil actions. Existing law establishes an exception to that prohibition for a request for arbitration by a client pursuant to specified provisions for arbitration of attorney’s fees, following the filing of a civil action by the attorney.
This
bill would instead allow commencement of arbitration upon a request for arbitration by a client pursuant to those provisions, following the commencement of an action in any court or any other proceeding by the attorney.
Existing law, except for certain claims where there is an underlying criminal charge, requires that an action against an attorney for a wrongful act or omission, other than for actual fraud, arising in the performance of professional services must be commenced within one year after the plaintiff discovers, or should have discovered, the wrongful act or omission, or 4 years from the date of the wrongful act or omission, whichever occurs first. Under existing law, that period is tolled if certain conditions exist.
This bill would additionally toll that period if a dispute between the lawyer and client concerning fees, costs, or both is pending resolution under existing law relating to arbitration of attorney’s
fees. The bill would define “pending” for that purpose.