Articles Posted in Supreme Court of Nevada

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Appellant, a payday loan company, provided loans to the named plaintiffs. The named plaintiffs and other borrowers did not repay their loans, prompting Appellant to file several thousand individual collection actions. Appellant secured thousands of default judgments against the named plaintiffs. It was later discovered that the process server hired by Appellant falsified affidavits of service. The named plaintiffs sued Appellant, alleging that Appellant improperly obtained its default judgments against them and other similarly situated borrowers without their knowledge. Appellant moved to compel arbitration based on the arbitration provisions in its loan agreements. The district court denied Appellant’s motions, holding that Appellant waived its right to arbitrate by bringing collection actions in justice court and obtaining default judgments based on falsified affidavits of service. The Supreme Court affirmed, holding that the district court correctly concluded that Appellant waived its right to an arbitral forum where the named plaintiffs’ claims all concerned the validity of the default judgments Appellant obtained against them in justice court. View "Principal Investments v. Harrison" on Justia Law

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Respondent brought an action against Appellant for professional negligence relating to services that Appellant performed for Respondent. After Respondent filed a demand for arbitration, Appellant submitted what it claimed to be two statutory offers of judgment. Respondent did not accept either offer. A panel of arbitrators subsequently ruled in favor of Appellant. The order stated that each party would bear its own fees and costs. Appellant filed a motion in the district court to correct the arbitration award to order Respondent to pay Appellant’s attorney fees. The district court denied the motion. The Supreme Court affirmed, holding that because the award of fees and costs by an arbitrator is discretionary even after an offer of judgment is made, Appellant did not demonstrate that the arbitrator manifestly disregarded Nevada law by refusing to award it fees and costs. View "WPH Architecture, Inc. v. Vegas VP, LP" on Justia Law