Patrick K. Willis Company, Inc. D/B/A American Recovery Services v. Yvonne Lawton, Individually and as Personal Representative of the Estate of Jimmie Lawton

CourtTexas Court of Appeals, 6th District (Texarkana)
DecidedMay 6, 2026
Docket06-25-00114-CV
StatusPublished

This text of Patrick K. Willis Company, Inc. D/B/A American Recovery Services v. Yvonne Lawton, Individually and as Personal Representative of the Estate of Jimmie Lawton (Patrick K. Willis Company, Inc. D/B/A American Recovery Services v. Yvonne Lawton, Individually and as Personal Representative of the Estate of Jimmie Lawton) is published on Counsel Stack Legal Research, covering Texas Court of Appeals, 6th District (Texarkana) primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Patrick K. Willis Company, Inc. D/B/A American Recovery Services v. Yvonne Lawton, Individually and as Personal Representative of the Estate of Jimmie Lawton, (Tex. Ct. App. 2026).

Opinion

In the Court of Appeals Sixth Appellate District of Texas at Texarkana

No. 06-25-00114-CV

PATRICK K. WILLIS COMPANY, INC. D/B/A AMERICAN RECOVERY SERVICES, Appellant

V.

YVONNE LAWTON, INDIVIDUALLY AND AS PERSONAL REPRESENTATIVE OF THE ESTATE OF JIMMIE LAWTON, Appellee

On Appeal from the 276th District Court Morris County, Texas Trial Court No. 28106

Before Stevens, C.J., van Cleef and Rambin, JJ. Memorandum Opinion by Justice Rambin MEMORANDUM OPINION

This is an interlocutory appeal from the trial court’s denial of Appellant, Patrick K. Willis

Company, Inc. d/b/a American Recovery Systems (ARS), and Texas Collateral Adjusters, LLC’s

(TCA),1 motions to compel arbitration and stay proceedings. See TEX. CIV. PRAC. & REM. CODE

ANN. §§ 51.016, 171.098(a)(1) (Supp.) (allowing interlocutory appeal of denial of motions to

compel arbitration). Jimmie Lawton bought a truck through a financing agreement that

contained an arbitration clause. The dealership, Patterson Nissan, assigned the agreement to

Santander Consumer USA, Inc. (Santander). Santander initiated repossession and contracted

with ARS. ARS contracted with TCA. Jimmie alleged that a confrontation with TCA

employees during the repossession caused emotional injury and economic loss when his truck

was taken and later sold despite his timely payments. Jimmie initiated arbitration against

Santander, but Jimmie and his wife, Yvonne Lawton,2 sued ARS and TCA in district court.

ARS, a nonsignatory to the agreement, moved to compel arbitration. The trial court denied the

motion to compel arbitration, as well as ARS’s motion requesting that, even if the case against

ARS remained in court, the case should be stayed pending the conclusion of the Santander

arbitration.

On appeal, ARS argues (1) it can compel arbitration as an agent of Santander, a

signatory-via-assignment to the arbitration agreement; (2) the delegation clause requires an

1 TCA did not join this interlocutory appeal. 2 Yvonne, did not sign the agreement, but she is a party to the lawsuit with ARS and TCA. 2 arbitrator to determine arbitrability of the claims against ARS; (3) Jimmie’s claims fall within the

scope of the arbitration clause; and (4) the Lawtons’ claims should be stayed pending arbitration.

We conclude that ARS failed to establish that it was an agent of Santander, and that the

trial court did not abuse its discretion in denying the motion to stay. We affirm.

I. Applicable Facts

On August 12, 2021, Jimmie bought a truck from Patterson Nissan in Longview, Texas.

Patterson Nissan loaned Jimmie a portion of the purchase price. The agreement between Jimmie

and Patterson Nissan was therefore both a purchase agreement and a finance agreement. The

agreement is in the record. Patterson Nissan assigned the agreement to Santander on the same

date that Jimmie agreed to and signed the agreement. The agreement between Patterson Nissan

and Santander is not part of the record. Jimmie alleged that, at all times, he remained current on

the truck note and that he kept a record of every payment. The Lawtons attached checks to their

petition for every month from September 2021 to May 2023. The Lawtons alleged that, after

Jimmie’s truck was repossessed and sold, they learned that Santander had erroneously credited

Jimmie’s payments to another account. The Lawtons contended the repossession and subsequent

sale of Jimmie’s truck should never have happened.

ARS contends that the Lawtons’ case, as pled, belongs in arbitration. In other words, for

present purposes, ARS accepts the Lawtons’ factual allegations as true.

The Lawtons alleged that the wrongful repossession began with a loud knock on their

door early on the morning of May 24, 2023. It was a TCA man. Yvonne answered. She called

for Jimmie. He joined her on the front porch. There was an argument. “Suddenly and without

3 warning, a second man from TCA approached [Jimmie] from the south side of [the Lawtons’]

house and third man from TCA came out from the darkness near the north side of [the Lawtons’]

home.” Both men approached aggressively and were armed. Jimmie protested that he was

current on the truck payments, and could show it if they would let him get his things out of the

truck, including the receipts he kept in the glove box. The men from TCA let Jimmie get his

things. He showed them the receipts. One of the TCA men made a phone call. “After a few

minutes, the man informed [Jimmie] that he was instructed to repossess the vehicle and told

[Jimmie] to contact Santander regarding the disputed installment payments.”

The Lawtons alleged not only that the repossession never should have occurred, but also

that it was done in a way that gave rise to their claims against ARS for breach of the peace,

unlawful conversion, assault, negligence, gross negligence, intentional infliction of emotional

distress, and trespass.

Jimmie died on May 16, 2025, the day after filing suit. Yvonne now pursues the claims

set forth in the Lawtons’ original petition in her individual capacity and as representative of the

Estate of Jimmie Lawton.

The agreement between Jimmie and Patterson Nissan contains an arbitration provision.

The arbitration provision defines “you” and “your” as the buyer, Jimmie, and “we,” “us,” and

“our” as the seller, Patterson Nissan and its assignees. The provision further describes covered

disputes as those “between you and us or our employees, agents, successors or assigns.”

To claim the benefit of that agreement and that arbitration provision, ARS joined a

motion to compel arbitration filed by TCA. Both the TCA motion and the ARS joinder

4 submitted the same agreement between Patterson Nissan and Jimmie that was attached to the

Lawtons’ petition. In addition, ARS submitted a reply brief in the trial court, which attached

sworn copies of its 2016 master service agreement with TCA and a May 6, 2023, “Order of

Repossession” from ARS to TCA.

In TCA’s motion to compel arbitration, TCA and ARS (via joinder) sought to abate the

case pending the resolution of the ongoing arbitration with Santander of the Lawtons’ claims.

The trial court heard the motions to arbitrate and for abatement on October 10, 2025. No

additional evidence was offered at that hearing.

On October 15, 2025, the trial court signed an order denying ARS’s requests for

arbitration and abatement. By that instrument, the trial court ordered for discovery to run

parallel with the arbitration against Santander. Neither party requested findings of fact and

conclusions of law. ARS then filed this interlocutory appeal.

II. Whether ARS Can Compel the Estate of Jimmie Lawton to Arbitrate

The only party ARS seeks to compel to arbitrate is the Estate of Jimmie Lawton. Yvonne

asserts individual claims. ARS does not seek to compel Yvonne to arbitrate her claims. There is

no arbitration agreement signed by both ARS and Jimmie.3 Instead, ARS seeks to claim the

benefit of Jimmie’s agreement with Patterson Nissan. ARS is not a signatory to that agreement.

ARS contends that Santander stepped into the shoes of Patterson Nissan and that, as pertains to

3 Generally, “an arbitration clause cannot be invoked by a non-party to the arbitration contract.” G.T. Leach Builders, LLC v. Sapphire V.P., LP, 458 S.W.3d 502, 524 (Tex.

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Patrick K. Willis Company, Inc. D/B/A American Recovery Services v. Yvonne Lawton, Individually and as Personal Representative of the Estate of Jimmie Lawton, Counsel Stack Legal Research, https://law.counselstack.com/opinion/patrick-k-willis-company-inc-dba-american-recovery-services-v-yvonne-txctapp6-2026.