Jane Doe v. Columbia North Hills Hospital Subsidiary, L.P., Columbia North Texas Subsidiary GP, LLC, and HCA Health Services of Texas, Inc.
2017 Tex. App. LEXIS 2536
| Tex. App. | 2017Background
- Columbia North Hills Hospital and affiliates maintained a 2006 Mandatory Binding Arbitration Policy (governed by the FAA) posted on an employee intranet called "Compliance 360."
- Jane Doe was hired in August 2012, attended new-employee orientation, and signed acknowledgements stating she would review hospital policies on Compliance 360 and had been oriented to "Problem solving/Grievance Procedures."
- Doe alleged she was sexually assaulted at work in October 2012 and sued the Hospital, affiliates, and the assailant for harassment, retaliation, and negligence.
- Appellees moved to compel arbitration; the trial court compelled arbitration, the arbitrator awarded in favor of Appellees, and the trial court confirmed the award. Doe sought vacatur and appealed the confirmation.
- On appeal Doe argued she never had notice of nor accepted the Arbitration Policy; Appellees relied on the intranet posting, orientation references, and Doe’s acknowledgements to show notice.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a valid arbitration agreement existed because Doe lacked notice and acceptance | Doe: No express notice of or assent to the arbitration policy; she never signed or was told about it | Appellees: Policy was posted on intranet, employees told about intranet, and Doe acknowledged ability/responsibility to review policies — this implies notice and assent | Court: No. Mere posting and general orientation statements did not give Doe actual or implied notice of the arbitration policy as a matter of law; arbitration agreement unenforceable |
| Whether remand requires an evidentiary hearing | Doe: No factual dispute about the existence of the relied-upon evidence; only dispute is legal sufficiency | Appellees: There is a factual dispute requiring an evidentiary hearing | Court: Remand required for further proceedings, but no evidentiary hearing necessary because no genuine fact issue about the asserted evidence existed |
Key Cases Cited
- In re Dallas Peterbilt, Ltd., L.L.P., 196 S.W.3d 161 (Tex. 2006) (employee notice and acceptance required for enforceable arbitration agreement)
- In re AdvancePCS Health L.P., 172 S.W.3d 603 (Tex. 2005) (party seeking to compel arbitration must establish a valid arbitration agreement)
- J.M. Davidson, Inc. v. Webster, 128 S.W.3d 223 (Tex. 2003) (strong presumption favoring arbitration does not apply when deciding existence of a valid arbitration agreement)
- Jack B. Anglin Co. v. Tipps, 842 S.W.2d 266 (Tex. 1992) (summary proceeding standard for motions to compel arbitration)
- In re Labatt Food Serv., L.P., 279 S.W.3d 640 (Tex. 2009) (abuse-of-discretion review of trial court’s arbitration ruling; de novo review of legal questions)
- Hathaway v. Gen. Mills, Inc., 711 S.W.2d 227 (Tex. 1986) (notice requires knowledge of policy terms and certainty of their imposition)
