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.
