The agreement of the parties to submit a dispute to conciliation shall be deemed an agreement between or among those parties to stay all judicial or arbitral proceedings from the commencement of conciliation until the termination of conciliation proceedings.
§ 1297.381.Agreement Stay Judicial Or Arbitration Proceedings
Title 9.3. Arbitration and Conciliation of International Commercial Disputes · Chapter 7. Conciliation · Article 5. Stay of Arbitration and Resort to Other Proceedings · Enacted 1988 · no amendments on record · Last verified July 29, 2026
In one sentenceSection 1297.381 treats an agreement to submit a dispute to conciliation as an agreement between the parties to stay all judicial or arbitral proceedings on that dispute from the start of conciliation until it terminates.
Full Text of § 1297.381
Plain-English Summary
Running conciliation alongside a parallel lawsuit or arbitration on the same dispute would undercut the whole point of trying to settle. This section prevents that by attaching an automatic stay to the choice to conciliate.
Once the parties agree to submit a dispute to conciliation, the law treats that agreement as also including a promise to pause any judicial or arbitral proceedings covering the same dispute. The pause runs from the moment conciliation begins until it terminates, giving the parties a clear runway to try settlement without simultaneously fighting the same battle in another forum.
Frequently Asked Questions
Does agreeing to conciliation automatically pause a related lawsuit or arbitration?
Yes. Section 1297.381 treats the agreement to conciliate as itself an agreement to stay judicial or arbitral proceedings on the same dispute.
How long does the stay last?
From the commencement of conciliation proceedings until their termination.
Does this stay apply to proceedings on unrelated disputes?
No. It applies to judicial or arbitral proceedings involving the dispute the parties agreed to conciliate, not to unrelated matters between them.
Amendment History
Added by Stats. 1988, Ch. 23, Sec. 1. Effective March 7, 1988.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 29, 2026.
· Official source
Also known as: stay of arbitration during conciliationconciliation pauses judicial proceedings