SB 365 – Eliminates Automatic Stay Of Trial Court Proceedings During Pendency Of Appeal Of Order Dismissing Or Denying Petition To Compel Arbitration

Existing law authorizes a party to appeal, among other things, an order dismissing or denying a petition to compel arbitration.  Under existing law, when the appeal is “perfected” (i.e., all court rules, procedures, and time lines are fully complied with), any trial court proceedings are automatically “stayed” (i.e., suspended) during the pendency of the appeal.

Effective January 1, 2024, Senate Bill 365 (SB 365) provides that, notwithstanding the general rule described above, perfecting an appeal does not automatically stay trial court proceedings during the pendency of an appeal of an order dismissing or denying a petition to compel arbitration.

(SB 365 amends Section 1294 of the Code of Civil Procedure.)