Saturday, June 27, 2009

Suit to Confirm FAA Arb Award Viable in State Court, Houston Appeals Court Rules

Houston Court of Appeals, in three separate opinions by Justice Frost, says that credit card issuer may bring action to confirm arbitration award entered under the Federal Arbitration Act (FAA) in credit card debt case against card holder in state court, - here one of the four county civil courts at law of Harris County. Appeals court panel finds that trial court's dismissal of creditor's action on jurisdictional ground was error, and sends the debt collection cases back to that court for further proceedings.

FIA Card Services, NA f/k/a MBNA America Bank, NA v. Horn (Tex.App.- Houston [14th Dist.] Jun. 23, 2009) (Frost) (suit to confirm arbitration award under FAA permitted in county court at law, invocation of FAA in state court is not jurisdictionally barred)
Disposition: TRIAL COURT REVERSED AND CASE REMANDED: Opinion by Justice Frost
Panel members: Justices Frost, Brown and Boyce 14-08-00024-CV FIA Card Services, N.A. fka MBNA America Bank, N.A. v. Valicia M. Horn Appeal from County Civil Court at Law No 1 of Harris County Trial Court Judge: Hon. Jack Cagle

FIA Card Srv's v. Sweet (Tex.App.- Houston [14th Dist.] Jun. 23, 2009)(Frost) (card issuer may seek confirmation of arbitration award entered under FAA in state (county) court)
Decision by court of appeals: TRIAL COURT'S JUDGMENT OF DISMISSAL REVERSED AND CASE REMANDED: Opinion by Justice Kem Thompson Frost
Panel members: Justices Frost, Brown and Boyce 14-08-00111-CV FIA Card Services, Et Al v. Gregory R. Sweet Appeal from County Civil Court at Law No 1 of Harris County Trial Court Judge: R. Jack Cagle

Palisades Acquisition XVI, LLC v. Chatman (Tex.App.- Houston [14th Dist.] Jun. 16, 2009)(Frost)(suit to confirm arbitration award under FAA erroneously dismissed by trial court on lack-of-jurisdiction grounds; Harris County county court at law found to have jurisdiction to confirm arbitration award, state-federal concurrent jurisdiction)
OUTCOME ON APPEAL: REVERSED AND REMANDED: Opinion by Justice Frost Before Justices Frost, Brown and Boyce 14-08-00108-CV Palisades Acquisition XVI, LLC v. Howard Chatman Appeal from County Civil Court at Law No 1 of Harris County

RELATED CONCEPTS AND LINKS: Application for / suit seeking confirmation of arbitration award, action to confirm arb award under FAA, which arbitration statute applies? FAA and TAA, applicability of the FAA, grounds for vacature of arbitration award under the Federal Arbitration Act.

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