Hawkins v. Rechnitz CA2/8
B304828
| Cal. Ct. App. | Jul 1, 2021Background:
- In Dec. 2015 plaintiff (Opal Hawkins) was admitted to Osage Healthcare; her mother, Martha Hulet, signed the admission and a five‑page arbitration agreement on Hawkins’ behalf; Hawkins did not sign and no power of attorney appears in the record.
- The arbitration agreement (invoking the FAA) covered disputes including elder abuse; it names Martha Hulet as Hawkins’ “Legal Representative/Agent.”
- A Dec. 25, 2015 medical note recorded that Hawkins had capacity to understand and make decisions, but records also reflect cognitive impairments (e.g., delirium).
- In Aug. 2019 Hawkins sued defendants for elder abuse and neglect; defendants moved to compel arbitration relying on the agreement signed by Hulet.
- Hulet declared she had no power of attorney and Hawkins never authorized her to sign; the trial court found defendants failed to prove express or ostensible agency and denied the motions; the Court of Appeal affirmed.
Issues:
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Hawkins is bound by the arbitration agreement signed by her mother | Hulet lacked POA and Hawkins never authorized her; Hulet’s declaration denies agency | Hulet was Hawkins’ lawful agent; Hawkins didn’t object and a doctor said Hawkins had capacity | Defendants failed to prove actual or ostensible agency; denial of compel affirmed |
| Whether applying ordinary agency law to refuse enforcement conflicts with Kindred | Trial court applied general agency principles; no special rule for arbitration | Kindred forbids singling out arbitration agreements and requires enforcement where agent authority exists | Kindred does not preempt generally applicable agency/evidentiary rules; no FAA violation here |
| Motion to dismiss appeal / sanctions for frivolous appeal | Appellant’s appeal is frivolous and merits sanctions | Appeal is not frivolous | Motion for dismissal/sanctions denied; appeal adjudicated on merits |
Key Cases Cited
- Kindred Nursing Ctrs. Ltd. P’ship v. Clark, 137 S. Ct. 1421 (U.S. 2017) (FAA preempts state rule singling out arbitration for disfavored treatment)
- Pinnacle Museum Tower Assn. v. Pinnacle Market Dev. (US), LLC, 55 Cal.4th 223 (party moving to compel arbitration bears burden to prove agreement)
- Flores v. Evergreen at San Diego, LLC, 148 Cal.App.4th 581 (agency requires principal’s words or conduct; agent’s conduct alone insufficient)
- Lopez v. Bartlett Care Ctr., LLC, 39 Cal.App.5th 311 (substantial‑evidence review; daughter’s signature insufficient where trial court credited contrary declaration)
- Young v. Horizon West, Inc., 220 Cal.App.4th 1122 (denial of arbitration affirmed where daughter signed and evidence of agency was lacking)
- Valentine v. Plum Healthcare Group, LLC, 37 Cal.App.5th 1076 (silence or non‑objection insufficient to establish ostensible authority)