445 S.W.3d 583
Mo. Ct. App.2013Background
- Tripp and Thoms entered into a retail installment contract with Auto Master in 2006, which included an arbitration agreement.
- Auto Master allegedly assigned its rights to SHAC, Inc., with later purported assignments to Sagres and then Gemini.
- Gemini filed a breach-of-contract petition in 2010, asserting standing as an assign-ee and seeking to collect under the contract.
- Tripp and Thoms asserted lack of a valid assignment and asserted two counterclaims; they moved to dismiss Gemini's petition for lack of standing.
- Gemini moved to compel arbitration, offering affidavits and documents it claimed proved the assignment chain, though Exhibit A was missing from the record.
- The trial court denied Gemini’s motion to compel arbitration, finding a waiver, and Gemini appealed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a valid arbitration agreement exists between Gemini and the adversaries. | Gemini asserts a valid chain of assignment to enforce arbitration. | Tripp and Thoms contend there is no valid assignment proving Gemini’s ability to compel arbitration. | No valid arbitration agreement proven; arbitration compelled does not exist. |
Key Cases Cited
- Whitworth v. McBride & Son Homes, Inc., 344 S.W.3d 730 (Mo.App. W.D.2011) (burden to show a valid agreement to arbitrate)
- Morrow v. Hallmark Cards, Inc., 273 S.W.3d 15 (Mo.App. W.D.2008) (court must determine validity of arbitration agreement first)
- M & I Marshall & Ilsley Bank v. Sader & Garvin, L.L.C., 318 S.W.3d 772 (Mo.App. W.D.2010) (arb. agreement existence governs waiver analysis)
- Nitro Distrib., Inc. v. Dunn, 194 S.W.3d 339 (Mo. banc 2006) (standard for determining arbitration enforceability)
- Korte Const. Co. v. Deaconess Manor Ass’n, 927 S.W.2d 395 (Mo.App. E.D.1996) (role of assignment in arbitration rights)
- Koch v. Compucredit Corp., 543 F.3d 460 (8th Cir.2008) (arbitration enforceability when contract contested)
- Creech v. MBNA Am. Bank, N.A., 250 S.W.3d 715 (Mo.App. S.D.2008) (summary determination of arbitration existence)
- Wood v. Procter & Gamble Mfg. Co., 787 S.W.2d 816 (Mo.App. E.D.1990) (affidavits must state facts, not conclusions)