In the Interest of S.M.H.

523 S.W.3d 783, 2017 WL 1366801, 2017 Tex. App. LEXIS 3244
CourtCourt of Appeals of Texas
DecidedApril 13, 2017
DocketNO. 14-16-00566-CV
StatusPublished
Cited by21 cases

This text of 523 S.W.3d 783 (In the Interest of S.M.H.) 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 Interest of S.M.H., 523 S.W.3d 783, 2017 WL 1366801, 2017 Tex. App. LEXIS 3244 (Tex. Ct. App. 2017).

Opinion

OPINION

Tracy Christopher, Justice

This is an appeal from a final judgment in a suit affecting the parent-child relationship. The parties elected to submit their [786]*786dispute to binding, arbitration, but after the arbitrator issued her. award, the trial court vacated the award upon finding that the arbitrator had exceeded her authority. The main issue presented to us is whether the trial court erred by issuing this vaca-tur. We conclude that it did. Although we agree that the arbitrator exceeded her authority, we believe that vacatur was not the correct remedy. Only a portion of the award was based on an issue outside of the arbitrator’s authority, and that portion could have been excised from the award without affecting the merits of the arbitrator’s other decision, which was based on an issue properly submitted to her. The trial court should have modified the award, rather than vacating it in its entirety. We reverse the trial court’s judgment in part and remand for a hearing to determine whether confirmation of a modified award would be in the best interest of the children.

In a separate issue, we also consider whether the trial court erred by proceeding to a trial on the merits on a matter raised in a counter-petition for modification. Finding no error with respect to this issue, we affirm this part of the trial court’s judgment.

BACKGROUND

When Mother and Father divorced, they privately agreed that Father would continue to support Mother and the two children whom they shared. For Mother’s benefit, Father promised to pay contractual alimony, and for the children’s benefit, Father promised to pay for private school tuition and for other costs relating to extracurricular activities. These terms and many others were reduced to writing in an Agreement Incident to Divorce (“AID”), which was incorporated into the final decree of ■divorce.

After the divorce, disagreements arose over Father’s support obligations, with each side insisting on different interpretations of the AID. Acknowledging that the AID was “sloppily written,’’.Mother filed a petition with the, trial,,court, to clarify the terms of.the AID and to enforce the obligations that Father had allegedly failed to honor.

Father filed a counter-petition, seeking a modification of his possession. Anticipating that he would be moving to another city, Father requested terms for long-distance visitation.

Mother and Father attended, mediation, which resulted in a partial settlement of their dispute. In an' effort to resolve other issues, Mother and Father entered into' a Rule 11 Agreement, wherein they both agreed to submit to arbitration. The material terms of the Rule 11 Agreement provided as follows:

• A single arbitrator would preside over the arbitration. The arbitrator would be the same person who presided over the parties’ mediation.
• The arbitration would be “baseball style,” meaning that Mother and Father would each submit a proposal to the arbitrator, who was bound to select one of the two proposals, without making any changes to the proposal selected.
• The issues submitted to the arbitrator would be limited to support and possession.
• The support issue would be subject to..binding arbitration, and the arbitrator’s ruling would not be restricted to what a court might be able to .. order under Texas law. . The parties expressly, acknowledged that they contemplated “payments and issues which exceed those found in the Texas Family Code.”
[787]*787• Unlike the support issue, the possession issue would not be subject to binding arbitration. On this issue alone, the parties would request the arbitrator to meet with the children privately and then “propose a mediator’s proposal” on the terms of holiday schedules and long-distance visitation.

Mother and Father exchanged their proposals three days before the arbitration. Then, on the morning of the arbitration, they entered, into an Arbitration Agreement, which the arbitrator, also signed. Under the terms of the Arbitration Agreement, the parties agreed to be bound by the rules set forth in the Rule 11 Agreement.

At the end of the arbitration, the arbitrator accepted Mother’s proposal. This acceptance was memorialized in a written award drafted entirely by the arbitrator. The award also contained two paragraphs that addressed the issue of possession, but these paragraphs were not written in the form of a mediator’s proposal. Instead, they were written as orders, in violation of the Rule 11 Agreement. The arbitrator ordered that holidays should be split between the parents and that terms should be added to the divorce decree allowing for long-distance visitation. The arbitrator also ordered Father to participate in therapy as a condition of his possession.

Back before the trial court, Mother moved to confirm the award and Father moved to vacate it. Father offered a laundry list of grounds in favor of vacatur, but the trial court relied on just one of them. Finding that the arbitrator had exceeded her authority, the trial court vacated the award in full..

Mother objected to the vacatur; She explained that the award had two parts: one addressing support, which was represented by the proposal that Mother had submitted to the arbitrator at the beginning of arbitration; and another addressing possession, which was represented by the two paragraphs drafted by the arbitrator. Mother argued that the trial court could give effect to the support portion of the award because the parties had a. valid agreement to arbitrate that issue. As for the possession portion, Mother argued -that the trial court should treat the arbitrator’s two paragraphs as just - a mediator’s proposal, which the parties were free to reject. Mother moved the trial court to confirm just the support portion of the award, but the trial court denied that motion.

The parties then proceeded to a trial on the merits, but the only matter litigated was Father’s counter-petition to modify the terms of his possession. The parties abandoned all other pending claims, although Mother reserved the right to challenge the trial court’s ruling on the arbitration award.

At the close of evidence, the trial court found that there was a change in circumstances and that Father was entitled to long-distance visitation. After denying several post-trial motions, the trial court signed a final judgment modifying the divorce decree with new terms of possession. Mother appealed from that final judgment.

ISSUES PRESENTED

Mother complains of two issues. In her first issue, she argues that the trial court erred by not confirming the support portion of. the arbitration award. In her second issue, she argues that the trial court erred by proceeding to trial on Father’s counter-petition for modification.

Father responds to these issues in his brief, but he also raises a jurisdictional challenge, arguing that Mother’s notice of appeal is untimely. .We address the jurisdictional issue first.

[788]*788APPELLATE JURISDICTION

To invoke an appellate court’s jurisdiction, a party must file a -written notice of appeal with the trial court clerk. See Tex. R. App. P. 25.1(a)-(b). In most cases, the notice of appeal must be filed within thirty days of the final judgment. See Tex. R. App. P. 26.1.

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Bluebook (online)
523 S.W.3d 783, 2017 WL 1366801, 2017 Tex. App. LEXIS 3244, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-the-interest-of-smh-texapp-2017.