2013 Ohio 5260
Ohio Ct. App.2013Background
- Winters sued Groedel for breach of co-counseling agreement and tortious interference arising from wage-and-hour co-counseling arrangements.
- Dispute resolution clause provides informal resolution, neutral third party, then binding arbitration.
- Groedel answered; Winters added a new party and Groedel counterclaimed for breach of contract, frivolous conduct, and breach of lease.
- Trial court denied motion to compel arbitration, ordered mediation first; appellate reversal remanded for a hearing on arbitrability.
- After remand, Winters renewed motion to stay proceedings pending arbitration; trial court granted, finding all claims within arbitration due to co-counseling agreement.
- This appeal challenges the stay order and whether the tort claim is subject to arbitration.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Arbitration scope for tortious interference | Winters argues tort claim falls under arbitration as related to the co-counseling agreement. | Groedel contends tort claim is unrelated to the agreement and not arbitrable. | Tort claim subject to arbitration because dispute concerns the co-counseling agreement. |
| Discovery during arbitration stay | Winters argues for discovery to determine validity of the tort claim. | Groedel argues discovery is necessary to challenge arbitrability. | Discovery not required; stay proper and merits-discovery not permitted. |
Key Cases Cited
- Academy of Medicine of Cincinnati v. Aetna Health, Inc., 108 Ohio St.3d 185 (Ohio 2006) (arbitration is contract-based; four-rule framework for arbitrability)
- AT&T Technologies, Inc. v. Communications Workers of Am., 475 U.S. 643 (Supreme Court 1986) (prescribes framework for arbitrability and interpretation of arbitration clauses)
- Fazio v. Lehman Bros., Inc., 340 F.3d 386 (6th Cir. 2003) (method to assess whether action could be maintained without contract)
- Barilla v. Patella, 144 Ohio App.3d 524 (8th Dist. 2001) (elements of tortious interference with a business relationship)
- Wolf v. McCullough-Hyde Memorial Hosp., Inc., 67 Ohio App.3d 349 (5th Dist. 1990) (torts of interference with business relationships and contract rights)
- Juhasz v. Quik Shops, Inc., 55 Ohio App.2d 51 (8th Dist. 1977) (authority on interference claims and privilege)
