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In a recent decision, the Texas Thirteenth Court of Appeals has affirmed an arbitration award that mandates a former Branscomb PC attorney, Kenton McDonald, to accept the ruling from a dispute over his termination. The appellate court's ruling underscores the importance of addressing issues with an arbitrator before challenging the outcome in court.

Branscomb Atty Arbitration Award : Arbitration Award Upheld

The court’s ruling on Thursday supports the lower court's endorsement of the arbitration award, which favored Branscomb PC and granted the firm attorney fees. McDonald, who brought forth several claims, including wrongful termination, breach of fiduciary duty, defamation, and business disparagement, did not receive any compensation for his claims.

The conflict began in 2018 following McDonald’s alleged wrongful dismissal from Branscomb. His subsequent legal actions included challenging the arbitration agreement he had initially deemed unenforceable. Despite his arguments, the trial court had stayed its proceedings in 2020 and enforced arbitration based on a shareholder agreement.

Court’s Ruling on Arbitration Agreement

The Thirteenth District Court agreed with McDonald’s right to challenge the arbitration order on appeal. However, the appellate court found that McDonald had failed to properly address his concerns with the arbitrator. The court stated that McDonald’s objections regarding the arbitration agreement’s validity were insufficient for a successful appeal, given that he did not properly preserve these issues during the arbitration process.

"McDonald's challenge to arbitration, presented both before the trial court's enforcement and post-arbitration, was not adequate to maintain his objections regarding the arbitration provision's legitimacy," the court noted. The appellate court highlighted the lack of formal records from the arbitration, which further undermined McDonald’s position.

Legal Representation and Next Steps

McDonald is represented by a team including Douglas A. Allison of the Law Offices of Douglas Allison, Alissa A. Adkins of McDonald & Adkins LLP, Brandy Wingate Voss of Brandy Wingate Voss PLLC, and Kevin Haynes of the University of Texas at Austin. On the other side, Branscomb PC is represented by Wade C. Crosnoe and Stephanie S. Rojo of Thompson Coe Cousins & Irons LLP.

As the case progresses, McDonald’s pending motion for a new trial, based on claims that the arbitration agreement was unenforceable, remains under review by the trial court.