in Re: Readyone Industries, Inc.

394 S.W.3d 697, 2012 Tex. App. LEXIS 10655, 2012 WL 6643568
CourtCourt of Appeals of Texas
DecidedDecember 21, 2012
Docket08-12-00120-CV
StatusPublished
Cited by4 cases

This text of 394 S.W.3d 697 (in Re: Readyone Industries, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
in Re: Readyone Industries, Inc., 394 S.W.3d 697, 2012 Tex. App. LEXIS 10655, 2012 WL 6643568 (Tex. Ct. App. 2012).

Opinion

OPINION

CHRISTOPHER ANTCLIFF, Justice.

In this original proceeding, ReadyOne Industries, Inc. seeks mandamus relief from the trial court’s order permitting discovery on the arbitrability of an agreement between ReadyOne and its employee, M. Estella Torres (“Torres”), governing work-related injuries. The narrow issue before this Court is one of first impression. We are asked to determine whether the Franken Amendment 1 is relevant in determining the arbitrability of a plaintiffs claims in a non-subscriber personal injury case. Concluding that the Franken Amendment is inapplicable in such a case, we conditionally grant mandamus relief.

FACTUAL AND PROCEDURAL BACKGROUND

Alleging that she sustained an on-the-job injury, Torres sued ReadyOne for negligence. After filing an answer, ReadyOne moved to compel arbitration pursuant to an agreement requiring that claims of on-the-job injuries be submitted to binding arbitration. In her response to the motion, Torres asserted, among other bases, that her negligence claims were not arbi-trable because the Franken Amendment prevents federal contractors from enforcing agreements to arbitrate torts related to or arising out of negligent hiring, supervision, or retention in a personal injury suit.

At the hearing on the motion to compel, Torres argued that allowing limited discovery on the issue of whether the Franken Amendment was applicable would determine the arbitrability of her claims. ReadyOne argued that the Amendment, on its face, was not applicable to torts related to or arising out of negligent hiring, supervision, or retention in a personal injury suit because the Amendment applies only to title VII claims or torts related to or arising out of sexual assault or harassment. After taking the issue under advisement, the trial court ordered discovery concerning the applicability of the Amendment. Specifically, Torres was permitted to discover if ReadyOne has federal contracts in excess of $1 million and if Ready-One manufactures items commercially available off-the-shelf.

*700 MANDAMUS

To obtain mandamus relief from the trial court’s discovery order, Ready-One must meet two requirements. Ready-One must show that the trial court clearly abused its discretion and that it has no adequate remedy by appeal. In re Prudential Ins. Co. of Am,., 148 S.W.3d 124, 135-36 (Tex.2004).

A trial court abuses its discretion if it reaches a decision so arbitrary and unreasonable as to amount to a clear and prejudicial error of law, or if it clearly fails to analyze or apply the law correctly. In re Cerberus Capital Mgmt., L.P., 164 S.W.3d 379, 382 (Tex.2005). Although the scope of discovery is within the trial court’s discretion, the trial court must make an effort to impose reasonable discovery limits. In re CSX Corp., 124 S.W.3d 149, 152 (Tex.2003). Discovery requests must be reasonably tailored to include only matters relevant to the case. In re Am. Optical Corp., 988 S.W.2d 711, 713 (Tex.1998). Because discovery is limited to matters that are relevant to the case, requests for information that are not reasonably tailored as to time, place, or subject matter amount to impermissible “fishing expeditions.” See CSX Corp., 124 S.W.3d at 152. Accordingly, an order that compels production of patently irrelevant matters is an abuse of discretion. Id. at 153.

A relator has no adequate remedy by appeal if the appellate court is unable to cure the trial court’s discovery error. Walker v. Packer, 827 S.W.2d 833, 843 (Tex.1992). This occurs when the trial court erroneously “compels the production of patently irrelevant ... documents, such that it clearly constitutes harassment or imposes a burden on the producing party far out of proportion to any benefit that may obtain to the requesting party.” Id. In such a situation, mandamus is the proper remedy. Id.

THE FRANKEN AMENDMENT

In a single issue, ReadyOne argues that the trial court erred by ordering discovery regarding the applicability of the Franken Amendment in this case because the Amendment is inapplicable, and even if applicable, does not bar enforcement of the arbitration agreement. ReadyOne thus insists that the trial court abused its discretion by requiring discovery into patently irrelevant matters. We agree.

Applicable Law

Our analysis of whether the Franken Amendment applies in this case turns on a question of statutory construction. A question of statutory construction is a legal one that we review de novo. Entergy Gulf States, Inc. v. Summers, 282 S.W.3d 433, 437 (Tex.2009). When construing statutes, we ascertain and give effect to the legislature’s intent. Id. We do so by looking first and foremost at the statutory text, reading the words and phrases in context and construing them according to the rules of grammar and common usage. Id.; Lexington Ins. Co. v. Strayhorn, 209 S.W.3d 83, 85 (Tex.2006); Tex.Gov’t Code Ann. § 311.011 (West 2005). Where statutory text is clear, it is determinative of legislative intent unless the plain meaning of the statute’s text would produce an absurd result. Entergy, 282 S.W.3d at 437.

Several canons of statutory construction are helpful in guiding our analysis. Under the doctrine of ejusdem gener-is, when general words in a statute follow specific examples, the general words are to be restricted in their meaning to a sense analogous to the same kind or class as those expressly mentioned. City of San Antonio v. City of Boerne, 111 S.W.3d 22, 29 (Tex.2003). Likewise, according to the *701 maxim noscitur a sociis (associated words), when general and specific words are grouped together in a statute, the general words are limited by the specific and will be construed to embrace only objects similar in nature to those things identified by the specific words. Id. Similarly, the last antecedent rule states that a qualifying phrase in a statute must be confined to the words and phrases immediately preceding it to which it may, without impairing the meaning of the sentence, be applied. Spradlin v. Jim Walter Homes, Inc., 34 S.W.3d 578, 581 (Tex.2000).

Discussion

1. Abuse of Discretion

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Bluebook (online)
394 S.W.3d 697, 2012 Tex. App. LEXIS 10655, 2012 WL 6643568, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-readyone-industries-inc-texapp-2012.