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Orrick Sued by MGA Entertainment Over $23 Million Award
A $23 million arbitration award for Orrick, Herrington & Sutcliffe is being challenged by MGA Entertainment, which has asked to have the award vacated. It was granted to the firm as compensation for the work it performed for the company in its fight with Mattell regarding the Bratz dolls, according to The Am Law Daily.
MGA Entertainment is being represented by Connor, Fletcher & Williams. The paperwork was filed in Orange County Superior Court on Monday. The documents argue that the arbitrators did not have the ability to award the money as arbitration was occurring.
A partial award was given to Orrick on January 25 by a JAMS panel on the proceeds of the copyright case against Mattel Inc. by MGA Entertainment.
“The arbitrators in the arbitration proceedings below have greatly exceeded their powers,” Edmond Connor wrote in the petition. “Arbitrators have limited jurisdiction, and generally do not possess the same power to order interim relief that a trial court has — even if the parties agree to confer such power on the arbitrators.”
The two sides were in arbitration regarding legal fees that Orrick said it is owed by MGA Entertainment for work in the litigation against Mattel. The court has also been asked to terminate the Confidential Arbitration Agreement, claiming that Orrick disclosed the value of the award publicly.
“This was a vitally important provision of the Confidential Arbitration Agreement, and formed a material part of the consideration for MGA’s agreement to arbitrate its disputes with Orrick,” the petition reads.