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Big Day for McCarran-Ferguson Reverse Preemption in Texas

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by Rob Hargrove

Friday, Sep 21, 2007


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We’ve blogged before, on numerous occasions, about McCarran-Ferguson Reverse Preemption of the Federal Arbitration Act. Specifically, we’ve blogged about the Kepka case out of Houston, whereby the Court held that Texas medical malpractice legislation, which holds that an agreement to arbitrate a med-mal case must be signed by both the plaintiff and the plaintiff’s attorney, was legislation to regulate the insurance industry, and as such the McCarran-Ferguson Act reverse-preempts the FAA, which would normally say that no such requirement is enforceable in an FAA case. The Texas Supreme Court, having requested briefing on the merits, had seemed like it was going to rule on a petition for mandamus which sought to over-rule Kepka. Given that Court’s recent history, we feared for the ongoing viability of McCarran-Ferguson preemption in the Texas medical malpractice arbitration context (we actually do fear for these things).

Today, however, the Court granted a motion to dismiss the petition for writ of mandamus. We know nothing of the details of this, but we can say that Kepka lives to fight another day.

Technorati Tags:
arbitration, ADR, Texas Supreme Court, law

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About Disputing

Disputing is published by Karl Bayer, a dispute resolution expert based in Austin, Texas. Articles published on Disputing aim to provide original insight and commentary around issues related to arbitration, mediation and the alternative dispute resolution industry.

To learn more about Karl and his team, or to schedule a mediation or arbitration with Karl’s live scheduling calendar, visit www.karlbayer.com.

About Disputing

Disputing is published by Karl Bayer, a dispute resolution expert based in Austin, Texas. Articles published on Disputing aim to provide original insight and commentary around issues related to arbitration, mediation and the alternative dispute resolution industry.

To learn more about Karl and his team, or to schedule a mediation or arbitration with Karl’s live scheduling calendar, visit www.karlbayer.com.

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