in the Estate of Rosa Elvia Guerrero

465 S.W.3d 693, 2015 Tex. App. LEXIS 4124, 2015 WL 1884068
CourtCourt of Appeals of Texas
DecidedApril 23, 2015
DocketNO. 14-13-00580-CV
StatusPublished
Cited by109 cases

This text of 465 S.W.3d 693 (in the Estate of Rosa Elvia Guerrero) 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 the Estate of Rosa Elvia Guerrero, 465 S.W.3d 693, 2015 Tex. App. LEXIS 4124, 2015 WL 1884068 (Tex. Ct. App. 2015).

Opinions

EN BANC MAJORITY OPINION

Ken Wise, Justice

Mike Hall Chevrolet, Inc. d/b/a Champion Chevrolet (Champion) brings this interlocutory appeal from the trial court’s order denying its motion to compel arbitration pursuant to the Federal Arbitration Act (FAA). See Tex. Civ. Prac. & Rem. Code § 51.016 (providing that matters subject to the FAA may be appealed under the same circumstances that an appeal from a federal court order is permitted by 9 U.S.C. § 16). In a single broad issue, Champion asserts the trial court erred in denying arbitration because there is a valid arbitration agreement and the claims asserted in the underlying suit are within its scope.

We grant Champion’s motion for en banc reconsideration, withdraw the majority and dissenting opinions issued September 4, 2014, and issue en banc majority and dissenting opinions in their stead.

I. FACTUAL AND PROCEDURAL BACKGROUND

On August 13, 2007, Champion sold a used 2003 Chevrolet Trailblazer to Rosa Elvia Guerrero. Champion alleges that in connection with the purchase, Guerrero executed a Buyer’s Order and Invoice, Retail Installment Contract, Security Agreement, and Arbitration Agreement. The Arbitration Agreement provides in relevant part:

This Arbitration Agreement (“Agreement”) applies to Customer(s) (“you”) who is/are in the process of: (1) purchasing or leasing a vehicle(s) including any negotiations or application(s) for credit or other dealings or interactions with the Dealership (hereinafter including its employees, agents, successors, assigns, subsidiaries, parents and affiliates); (2) servicing any vehicle(s) with the Dealership; or (3) reviewing, negotiating or executing any documents or agreements during the course of interactions with the Dealership (collectively, “Customer(s)/Dealership Dealings”). You and the Dealership agree that arbitration will be the sole method of resolv[698]*698ing any claim, dispute, or controversy (collectively, “Claims”) that either Party has arising from Customer(s)/Dealership Dealings. Such Claims include, but are not limited to, the following: (1) Claims in contract, tort, regulatory, statutory, equitable, or otherwise; (2) Claims relating to any representations, promises, undertakings, warranties, covenants or service; (3) Claims regarding the interpretation, scope, or validity of this Agreement, or arbitrability of any issue; (4) Claims between you and Dealership; and (5) Claims arising out of or relating to your application for credit, this Agreement and/or any and all documents executed, presented or negotiated during Customer(s)/Dealership Dealings, or any resulting transaction, service, or relationship, including that with the Dealership, or any relationship with third parties who do not sign this Agreement that arises out of the Customer(s)/Dealership Dealings.

The Retail Installment Sales Contract contains no arbitration clause, but it has a merger clause stating: “This contract contains the entire agreement between you and us relating to the sale and financing of the vehicle.” Similarly, the Security Agreement does not contain an arbitration clause, but it also has a merger clause, which states:

Entire Agreement., This Security Agreement embodies the entire agreement and understanding of Secured Party relating to the subject matter hereof and supersedes all prior representations, agreements and understandings, oral or written, relating to such subject matter.

The Buyer’s Order addresses arbitration:

Any controversy or claim arising out of or relating to this purchase agreement or the breach thereof shall be settled by binding arbitration in accordance with the commercial arbitration rules of the American arbitration association [sic]. Any controversy or claim subject to this arbitration provision shall be decided by one arbitrator, and judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. Any arbitration proceeding shall be conducted in the city and state where the vehicle purchased [sic ] hereunder from the company.

It is alleged that Champion installed used tires on the vehicle as part of a “wheel swap.” It is also alleged that Champion serviced the vehicle on several occasions after Guerrero’s purchase. Guerrero and her minor son, Ruben Dominguez, died in an accident on March 23, 2009, which was allegedly caused by a failed tire on the vehicle. Guerrero’s daughter, Ariana Dominguez, and two other passengers in Guerrero’s vehicle, a friend and a niece, survived but were injured. Guerrero’s vehicle crossed into oncoming; traffic and collided with other vehicles, killing one of the drivers.

The underlying case began as the administration of Guerrero’s estate. Another daughter, Alexandra Deike, was appointed to serve as Administratrix of her mother’s estate. Ariana Dominguez was appointed to serve as Administratrix the estate of her brother, Ruben. On January 31, 2011, Alexandra Deike, individually and on behalf of the estate of her mother, Ariana Dominguez, individually and on behalf of the estate of her brother, and Gregorio Dominguez, Ruben’s father, (collectively the Guerrero parties) filed wrongful death, survival, personal injury, and product liability claims in the probate action against Michelin North America, Inc., the tire manufacturer, and a tire service company, who is no longer a party. Guerrero’s parents (the parents) intervened, adding wrongful death claims against the tire [699]*699companies. The surviving passengers in Guerrero’s car (the passengers) also intervened to allege personal injury claims against the tire companies. The original defendants designated Champion as a responsible third party, and in April 2012, the Guerrero parties, the parents, and the' passengers added Champion as a defendant, alleging wrongful death, survival and personal injury claims. The parents and passengers later added negligence claims against the Guerrero estate. In addition, Champion’s affiliated companies (the Auto-Nation defendants) were later named as defendants. The estate and family members of the other driver (the Clarks) also intervened in the suit, alleging products liability, breach of warranty, negligence, and gross negligence against Michelin and Goodrich Corporation i/k/a the B.F. Goodrich Company, and negligence against Champion, the AutoNation defendants, and the Guerrero estate.

Champion filed its Motion to Compel Arbitration and for Stay or Dismissal of Litigation on May 16, 2012. It originally sought to compel arbitration with only the Guerrero parties; no other parties were included in Champion’s motion. After a hearing on June 26, 2012, the trial court ordered the parties to engage in discovery on the arbitration issue.

On February 5, 2013, Champion filed a Plea to the Jurisdiction and Amended Motion to Compel Arbitration. The amended motion expressly sought to compel arbitration of only the survival actions regarding Rosa Guerrero and Ruben Dominguez. In the jurisdictional plea, Champion sought dismissal of the personal injury and wrongful death claims, asserting the probate court lacked jurisdiction. The Guerrero parties responded in opposition. The trial court conducted a hearing on Champion’s motion on February 28, 2013.

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Cite This Page — Counsel Stack

Bluebook (online)
465 S.W.3d 693, 2015 Tex. App. LEXIS 4124, 2015 WL 1884068, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-the-estate-of-rosa-elvia-guerrero-texapp-2015.