Today we take a close look at that rare creature: an opinion finding sufficient basis under the FAA to vacate an arbitration award. In Tenaska Energy Inc. v. Ponderosa Pine Energy, LLC, __S.W.3d __, 2014 WL 2139215 (Tex. May 23, 2014), the Supreme Court of Texas found an arbitrator had shown “evident partiality” due to his misleading “partial” disclosures of his contacts with the law firm representing the claimant.
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Legally, I find it interesting that even though the Texas Supreme...
On November 22, the Supreme Court of Texas agreed to hear Venture Cotton Cooperative et al. v. Freeman et al., No. 13-0122. The case is currently on appeal from Texas’ 11th Court of Appeals. The main issue in the dispute is whether an arbitration agreement is unconscionable where the terms of a contract state that one party is allowed to collect attorney’s fees following a breach, but the other is not. Both the trial court and the 11th COA held the provision rendered the agreement substantively...
The Supreme Court of Texas has declined to review a First District Court of Appeals decision requiring arbitration in a natural gas contract dispute. In Enterprise Field Services, LLC v. TOC-Rocky Mountain, Inc., No. 01-12-00345-CV (Tex. App. 1st February 28, 2013), Houston’s First Appellate District compelled the case to arbitration despite that arbitration was not expressly required under the parties’ agreement because the dispute could not be decided without considering another contract...
On Friday, the Supreme Court of Texas agreed to hear Americo Life, Inc., et al. v. Robert L. Myer and Strider Marketing Group, Inc., No. 12-0739, which is currently on appeal from the 5th Court of Appeals in Dallas. The issue in the case is whether an arbitration award of more than $26 million should be vacated based on an arbitrator’s disqualification by the American Arbitration Association (AAA) where the parties’ agreement to select an arbitrator purportedly conflicts with AAA rules. ...
Last week, the Supreme Court of Texas ordered that a trust dispute must be submitted to arbitration. InRachal v. Reitz, 11-0708, (Tex. May 3, 2013), a trust beneficiary, John Reitz, sued a successor trustee who was also the attorney who drafted the trust, Hal Rachal, Jr., for breach of fiduciary duty, misappropriation of trust assets, and failure to provide an accounting as required by state law. In addition, Reitz sought a temporary injunction against Rachal, his removal as trustee, and damages.
Rachal...