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From the monthly archives: June, 2017

We are pleased to present below all posts archived in 'June, 2017'. If you still can't find what you are looking for, try using the search box.

Texas: Trial Court Properly Set Aside Arbitrator's Sanctions Orders Based on Evident Partiality

In Builders First Source-South Texas, LP v. Ortiz, the Fourteenth Court of Appeals held, in an interlocutory appeal, that the trial court had jurisdiction to set aside an arbitrator's sanctions orders on the basis of evident partiality. The trial court also had jurisdiction to require arbitration before a new arbitrator, but the parties had to go through the AAA process for the appointment. The trial court erred to stay the proceedings pending completion of arbitration. According to the court's opinion, Ortiz allegedly suffered workplace injuries. An arbitration provision was contained in his employment agreement with Builders First. The AAA appointed an arbitrator who submitted a sworn disclosure to the effect that none of the parties, lawfirms, or party representatives appeared before her in past arbitrations. The disclosure confirmed that the arbitrator checked for conflicts. About a year later, the parties conducted a telephone hearing with the arbitrator. The arbitrator and counsel for Bu ...

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Texas: Mediated Settlement Agreement is a Contract and Should be Interpreted under Contract Law

In Loya v. Loya, the Texas Supreme Court faced the question of whether a mediated settlement agreement partitioned an employee bonus that was received nine months after the divorce decree was entered. According to the court's opinion, the divorce litigation lasted over two years. The trial court ordered mediation, resulting in an MSA signed by the parties and their attorneys.The MSA stated that it served as a partition of all property and any disputes relating to drafting or interpretation would be arbitrated. The trial court rendered an oral judgment on the MSA the day after it was signed. The parties then drafted a decree and agreement incident to divorce, where disagreements arose. Those disputes were arbitrated, with the arbitrator ruling that the MSA language on "all future income and earnings" of the husband would be placed in the AID. After arbitration, the wife moved to set aside the MSA, arguing that there was no mutual assent because the parties did not reach agree ...

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Texas: Parties Agreed to Arbitration Despite Allegations of a "Frankenstein" Contract

In Kreit and Kreit v. Brewer & Pritchard, PC, the Fourtheent Court of Appeals held that the trial court properly ruled that the Kreit brothers agreed to arbitration in their engagement agreement with the law firm of Brewer & Pritchard.  In dispute is whether the firm represented the brothers (who are medical doctors) in their individual capacities or Cleveland Imaging and Surgical Hospital, LLC. According to the court's opinion, the Kreit brothers contend they only intended to obtain representation on behalf of the LLC. The brother further contend irregularities with the law firm's fee agreement: that the firm "co-mingled individual pages from separate proposals to create a 'Frankenstein' contract to which the [brothers] never agreed as a whole." An arbitration was conducted in accordance with the rulese for expedited, documents-only proceeding, after the firm sought payment of $40,000.00 in fees and $1,175.00 in expenses. The brothers appeared pro s ...

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