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Court Decisions about Arbitration
Fort Worth COA Orders Condo Purchase Dispute to Arbitration
By Beth Graham - February 24, 2015
Texas’ Second District Court of Appeals in Fort Worth has ordered parties to a condominium sales contract to arbitrate their dispute despite that one purchaser failed to sign the agreement.
Supreme Court of Texas Agrees to Consider Whether Attorney-Client Arbitration Agreement is Unconscionable
By Beth Graham - February 20, 2015
Earlier today, the Supreme Court of Texas agreed to consider whether or not an arbitration agreement between a law firm and its former client was one-sided and substantively unconscionable. In the case, In re: Royston Rayzor Vickery & Williams, LLP, No. 14-0109, a man, Lopez, retained a law firm, Royston Rayzor Vickery & Williams, LLP (“Royston”) to represent him in divorce proceedings related to his common law marriage.
Fifth Circuit Overturns Lower Court’s Order Partially Vacating Arbitral Award
By Beth Graham - February 20, 2015
The United States Court of Appeals for the Fifth Circuit has overturned a lower court’s order vacating a portion of an arbitral award. In BNSF Railway Co. v. Alstom Transportation, Inc., No. 13-11274 (5th Cir. Feb. 5, 2015), a railroad company, BNSF, hired another company, Alstom, to manage its locomotive maintenance program.
Arbitral Panel Issues $10 Million Award Against Disgraced Bicyclist Lance Armstrong
By Beth Graham - February 17, 2015
Earlier this month, an arbitration panel issued a $10 million award against former professional bicyclist Lance Armstrong and now-defunct team management company Tailwind Sports Corporation. The award resulted after an arbitral panel agreed to reopen 2005 arbitration proceedings between Armstrong and Dallas-based SCA Promotions over cycling-related bonuses.
U.S. Supreme Court Denies Certiorari Petition in California Class Arbitration Case
By Beth Graham - February 11, 2015
The United States Supreme Court has refused to consider a California case holding the Federal Arbitration Act (“FAA”) does not apply to a worker’s labor code enforcement claim that was brought under California’s Private Attorneys General Act (“PAGA”). In CLS Transportation Los Angeles, LLC v. Iskanian, No. 14-341, a worker sought to file a class action lawsuit against his employer over a number of wage and hour claims.
Dallas Court Dismisses Lawsuit Challenging Arbitrator Panel in $2.25 Billion Wind Energy Dispute
By Beth Graham - February 9, 2015
The Northern District of Texas in Dallas has dismissed a lawsuit challenging the selection of a panel of arbitrators. In AVIC Intern. USA, Inc. et al. v. Tang Energy Group, Ltd. et al., No. 3:14-CV-2815-K (February 5, 2015), AVIC and Thompson (“plaintiffs”) entered into a wind energy joint investment agreement with Tang and four others (“defendants”).
Houston COA Holds Subsequent Employment Contract Did Not Revoke Prior Arbitral Provision
By Beth Graham - February 2, 2015
Texas’ 14th District Court of Appeals in Houston has overturned a district court’s order denying arbitration in an employment dispute. In The Subsea Co. v. Payan, et al., No. 14–13–00849–CV (Tex. App – Houston [14th Dist.], September 18, 2014), an oil and gas specialty component manufacturer, The Subsea Company, hired a woman to serve as an account manufacturer.
U.S. Supreme Court Asked to Review Texas Supreme Court Decision Overturning $26 Million Arbitral Award
By Beth Graham - January 30, 2015
The United States Supreme Court has been asked to review a Supreme Court of Texas decision overturning a $26 million arbitration award. In Robert L. Myer, et al. v. Americo Life, Inc., et al., No. 14-774, a divided Texas court overturned a unanimous arbitration award after the American Arbitration Association (“AAA”) disqualified one party’s selected arbitrator due to partiality.
Fifth Circuit Reverses Course in Construction Defect Case
By Beth Graham - January 23, 2015
The Fifth Circuit Court of Appeals has reversed its prior decision affirming summary judgment in favor of an insurance company that refused to pay an arbitral award in a construction defect case. In Crownover v. Mid-Continent Casualty Co., No. 11-10166, a Texas couple, the Crownovers, initiated arbitration against the company that built their defective home, Arrow.
U.S. Supreme Court Holds Federal Circuit Must Provide More Deference to District Court Factual Findings in Support of Patent Claim Construction
By Beth Graham - January 21, 2015
In a 7-2 decision, the United States Supreme Court has rejected the U.S. Court of Appeals for the Federal Circuit’s practice of reviewing all instances of district court patent claim construction using a de novo standard. In Teva Pharmaceuticals USA, Inc. v. Sandoz, Inc., No. 13-854 (January 20, 2015), a pharmaceutical company, Teva, held the patent for the manufacturing method used to create a drug called Copaxone.
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