Mark Menger v. Sherry Menger
01-19-00921-CV
| Tex. App. | Jun 29, 2021Background
- Parties (Marek and Sherry Menger) executed a binding mediated settlement agreement (MSA) in June 2017 that reserved certain property issues for future arbitration by mediator Jeffrey H. Uzick; the trial court’s Amended Decree (June 2018) incorporated the MSA and ordered mediation then binding arbitration with Uzick for disputes over interpretation or performance.
- Uzick conducted several arbitrations resolving items listed in the MSA’s Exhibit A-1; the Amended Decree otherwise remained the final divorce decree.
- In March–April 2019 Marek filed multiple enforcement petitions and affirmative claims in the trial court (including money judgments, indemnity relief, contempt), but did not request arbitration in those pleadings.
- Marek pursued discovery (served RFPs, interrogatories, and disclosures); Sherry produced ~1,375 pages and attested to incurring roughly $77,107 in attorney’s fees; Marek set the case for trial on September 18, 2019 and unsuccessfully sought a continuance.
- Six days before trial Marek filed a motion to abate and to compel arbitration; Uzick declined to serve as arbitrator (citing a grievance and perceived conflict); the trial court denied Marek’s motions, and Marek filed this interlocutory appeal.
Issues
| Issue | Plaintiff's Argument (Marek) | Defendant's Argument (Sherry) | Held |
|---|---|---|---|
| Whether the trial court must compel arbitration of the enforcement petitions (scope/validity of arbitration clause) | Enforcement disputes concern interpretation/performance of the Amended Decree/MSA and thus fall within the decree’s arbitration clause | Marek waived arbitration by substantially invoking the judicial process; arbitration also precluded by res judicata, Marek’s misconduct, and contract principles | Court held Marek waived arbitration (trial court did not abuse discretion in denying motion to compel) |
| Whether the court erred by failing to appoint a substitute arbitrator after Uzick declined to serve | A substitute arbitrator should be appointed so arbitration can proceed per the MSA/Decree | Uzick’s withdrawal and Marek’s conduct preclude arbitration; appointment unnecessary if arbitration waived | Not reached on the merits—court disposed of appeal on waiver grounds |
Key Cases Cited
- Henry v. Cash Biz, LP, 551 S.W.3d 111 (Tex. 2018) (abuse-of-discretion standard for reviewing denial of motion to compel arbitration)
- Perry Homes v. Cull, 258 S.W.3d 580 (Tex. 2008) (factors for implied waiver of arbitration and requirement to show prejudice)
- G.T. Leach Builders, LLC v. Sapphire V.P., 458 S.W.3d 502 (Tex. 2015) (arbitration rights may be waived expressly or impliedly; framework for waiver analysis)
- Royston, Rayzor, Vickery & Williams, LLP v. Lopez, 467 S.W.3d 494 (Tex. 2015) (party asserting waiver bears the burden of proof)
- In re Rubiola, 334 S.W.3d 220 (Tex. 2011) (party seeking arbitration must show a valid agreement and that claims fall within its scope)
- J.M. Davidson, Inc. v. Webster, 128 S.W.3d 223 (Tex. 2003) (apply ordinary contract principles to arbitration agreements)
- Adams v. StaxxRing, Inc., 344 S.W.3d 641 (Tex. App.—Dallas 2011) (examples of how discovery and litigation conduct factor into waiver/prejudice analysis)
- Pounds v. Rohe, 592 S.W.3d 549 (Tex. App.—Houston [1st Dist.] 2019) (recent local precedent applying Perry Homes factors to waiver of arbitration)
