Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-5_07-cv-02319/USCOURTS-cand-5_07-cv-02319-4/pdf.json

Nature of Suit Code: 196
Nature of Suit: Franchise
Cause of Action: 28:1331 Fed. Question: Breach of Contract

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United States District Court

For the Northern District of California

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United States District Court

For the Northern District of California

IN THE UNITED STATES DISTRICT COURT

FOR THE NORTHERN DISTRICT OF CALIFORNIA

SAN JOSE DIVISION

Manuben Patel,

d.b.a., Best Western Torch-Lite Inn

Plaintiff,

 v.

Best Western International, Inc.,

Defendant. /

NO. C 07-02319 JW 

ORDER FOLLOWING CASE

MANAGEMENT CONFERENCE

The Court conducted a case management conference on March 24, 2008. The parties raised

issues regarding whether discovery should be coordinated between this action and a related action

filed by Defendant Best Western International Inc. (“Best Western”) against Plaintiff Manuben Patel 

in the District of Arizona (“Arizona Action”). Defendant contends that discovery in this case should

be stayed pending a resolution in the Arizona Action. Plaintiff contends it is entitled to discovery in

this case because it is a separate action with different remedies. Notwithstanding a previous Order

denying transfer of venue to Arizona, the Court expressed its concern for having two actions

pending which concerned the same contractual relationship between the parties. (See Docket Item

No. 61.) 

On its own motion, the Court consulted with Judge Broomfield who is the presiding Judge in

the Arizona Action. After consulting with Judge Broomfield, the Court is reconsidering whether

this case should be transferred to Arizona under the “first to file” rule. The principal issue affecting

the transfer is whether the California Franchise Law (“CFL”) applies to the contract between the

Case 5:07-cv-02319-JW Document 73 Filed 03/28/08 Page 1 of 3
United States District Court

For the Northern District of California

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parties. Upon review of the orders issued in the Arizona Action, it is the Court’s understanding that

no adjudication has been made in the Arizona Action regarding the applicability of the CFL to the

agreement between the parties. Indeed, no court has determined whether Best Western qualifies for

the franchisee exemption under the CFL. The determination of that issue would have significant

weight in deciding whether to reconsider the Order denying Defendant’s motion to transfer. 

To expedite the adjudication of that issue, the Court VACATES the case schedule dictated at

the case management conference. Instead, the Court invites cross-motions for summary adjudication

regarding the applicability of California Franchise Law to Best Western. The parties may conduct

any discovery relating to the issue of whether Best Western qualifies for an exemption under the

CFL. All other discovery is stayed pending the resolution of the cross-motions for summary

judgment. The Court refers the parties to the assigned Magistrate Judge to resolve any dispute over

the scope of discovery consistent with this Order.

The parties shall adhere to the following briefing schedule:

(1) Cross-Motions for Summary Judgment shall be filed and served on or before June 2,

2008;

(2) Oppositions, if any, shall be filed and served on or before June 16, 2008;

(3) Replies, if any, shall be filed and served on or before June 23, 2008.

The hearing on the Cross-Motions for Summary Judgment is set for July 7, 2008 at 9 a.m.

The parties may not stipulate to a different briefing schedule.

Dated: March 27, 2008 

JAMES WARE

United States District Judge

Case 5:07-cv-02319-JW Document 73 Filed 03/28/08 Page 2 of 3
United States District Court

For the Northern District of California

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THIS IS TO CERTIFY THAT COPIES OF THIS ORDER HAVE BEEN DELIVERED TO:

Allison L. Harvey allison.harvey@dlapiper.com

Antony E. Buchignani antony.buchignani@dlapiper.com

Charles Joseph Stiegler cstiegler@gormanmiller.com

Cynthia A. Ricketts cindy.ricketts@dlapiper.com

Mitchell Kassoff franchiselawyer@verizon.net

Rachel Elizabeth King Lowe rachel.lowe@dlapiper.com

Reid Paul Schantz rps.esq@sasquatch.com

Dated: March 27, 2008 Richard W. Wieking, Clerk

By: /s/ JW Chambers 

Elizabeth Garcia

Courtroom Deputy

Case 5:07-cv-02319-JW Document 73 Filed 03/28/08 Page 3 of 3