Mark Trachtenberg and Christina Crozier from the Houston office of Haynes & Boone, L.L.P. recently published an interesting and useful article entitled “Arbitration-Related Litigation in Texas,” (29 Corporate Counsel Rev. 1 (2010)). The article discusses the effect of governing law on arbitration-related litigation, pre-arbitration litigation and post-arbitration litigation in the State of Texas. Here is an excerpt:
Congress intended for arbitration to be a faster, less expensive alternative to litigation. Businesses frequently include arbitration clauses in their contracts in an attempt to avoid the time and costs associated with the traditional court system. But judging from the steady stream of arbitration-related decisions emanating from state and federal courts in recent years, even the most “air-tight” arbitration clause cannot guarantee that disputes will be resolved without judicial intervention.
Courts typically deal with arbitration-related disputes in two circumstances. First, when a party to a contract with an arbitration clause resists arbitrating a dispute, the contracting parties often litigate the enforceability and scope of the arbitration clause before any arbitration proceeding begins (referred to herein as “pre-arbitration litigation”). Second, after an arbitration panel renders its decision and issues an award, parties frequently turn to the courts in an effort to confirm, modify, or vacate the arbitral award (referred to herein as “post-arbitration litigation”).
This paper provides a comprehensive overview of arbitration-related litigation in Texas and offers guidance for handling an arbitration-related dispute in the court system…
The full article may be read here.