In re Vantage Drilling Int'l
In re Vantage Drilling Int'l
Opinion of the Court
Russell Lloyd, Justice *632Vantage Drilling International and its affiliates (collectively, "Vantage") petition for a writ of mandamus directing the trial court
Background
Martinez Partners, a law firm, represented Vantage in a Foreign Corrupt Practices Act investigation and related matters, but the engagement was terminated, and Vantage hired a new law firm. Vantage did not pay some of Martinez Partners' legal fees, so Martinez Partners sued Vantage on a sworn account. The parties' engagement agreements contain arbitration clauses.
Martinez Partners filed its suit in Harris County district court. Vantage answered and counterclaimed for breach of contract, breach of fiduciary duty, and money had and received. Vantage's counterclaims were partially based on an allegation of improper mark-ups. Martinez Partners had engaged a document-review vendor to assist in the representation. According to Vantage, Martinez Partners paid the vendor at fixed hourly rates for the vendor's attorney document reviewers and then passed those costs through to Vantage at higher hourly rates without disclosing to Vantage that the attorney document reviewers were not Martinez Partners employees.
The parties litigated for eleven months, including extensive document discovery into the lawsuit's merits. Nine months into the lawsuit, during a hearing on a discovery motion, Vantage's allegation that Martinez Partners failed to disclose that the document reviewers were not Martinez Partners employees was referred to. The trial court commented to Martinez Partners' counsel, "that will be real interesting at trial because in that case, I think you may have a problem.... That's going to be interesting if y'all try it, an interesting issue." Vantage soon thereafter filed a motion for partial summary judgment on its cause of action for breach of fiduciary duty.
In month eleven of the lawsuit, Martinez Partners filed a motion to compel arbitration. Vantage responded, arguing that Martinez Partners had waived arbitration either explicitly, in comments its attorney made to the trial court, or impliedly, by substantially invoking the litigation process instead of seeking to initiate arbitration. The engagement letters signed by both parties establish that the Federal Arbitration Act ("FAA") governs the arbitration clauses.
The trial court ordered the parties to arbitrate all claims asserted in the lawsuit and stayed the lawsuit pending the arbitration's outcome. Vantage petitioned for mandamus, and Martinez Partners responded.
Final Appeal is Adequate for Reviewing Vantage's Waiver Argument
Vantage contends that an appeal after a final judgment is inadequate to review its *633assertion that Martinez Partners waived arbitration. The dissent agrees with the position that arbitration was waived. However, we do not address the waiver argument because Vantage has an adequate remedy by appeal.
I. Standard of Review and Applicable Law
A. Mandamus standard and adequacy of final appeal
A petitioner must meet both prongs of a two-part test in order to be entitled to mandamus: "To be entitled to mandamus, a petitioner must show that the trial court clearly abused its discretion and that the relator has no adequate remedy by appeal." In re Gulf Expl., LLC ,
"In the context of orders compelling arbitration, even if a petitioner can meet the first requirement, mandamus is generally unavailable because it can rarely meet the second."
The required balancing tilts heavily against granting mandamus even if requiring the parties to wait for a final appeal results in wasted time and money: "Of course, if an order compelling arbitration is wrong, the parties may waste time and money in arbitration. But standing alone, delay and expense generally do not render a final appeal inadequate."
If an order compelling arbitration is found to have been error, the attorneys' fees spent on the arbitration are generally recoverable because arbitration generally involves prosecuting contract claims: "[A]rbitration clauses are usually contractual and cover contractual claims. A party that prevails on a contractual claim can recover its fees and expenses, even if they were incurred in collateral proceedings like arbitration."
B. Mandamus review under the FAA and TGAA
When the FAA applies to an arbitration clause, Texas courts must align appellate review under Texas procedure as consistently as possible with appellate review under federal procedure. In re Poly-America, L.P. ,
*634If a trial court compels arbitration and dismisses the underlying lawsuit, under both federal and Texas procedure, a party generally may seek review of the order compelling arbitration by directly appealing the final judgment of dismissal. See In re Palacios ,
Interlocutory appeals of orders compelling arbitration are disfavored under both the FAA and the TGAA. The FAA expressly forbids them.
The strong federal presumption in favor of arbitration extends to cases involving a litigant's alleged waiver of arbitration. The FAA "establishes that, as a matter of federal law, any doubts concerning the scope of arbitrable issues should be resolved in favor of arbitration, whether the problem at hand is the construction of the contract language itself or an allegation of waiver , delay, or a like defense to arbitrability." Moses H. Cone Mem'l Hosp. v. Mercury Constr. Corp. ,
C. Reviewing orders compelling arbitration and reviewing orders denying arbitration involve different standards.
The appellate standards for reviewing an order compelling arbitration are inherently different from those involved in interlocutory review of an order denying arbitration under either the FAA or the TGAA. The Supreme Court of Texas has recognized this dissimilarity: "[T]he FAA generally permits immediate appeal of orders hostile to arbitration ... but bars appeal of interlocutory orders favorable to arbitration.... [M]ost states (including Texas) have adopted the Uniform Arbitration Act, which like the FAA authorizes immediate appeal only from orders denying arbitration." In re Gulf Expl. ,
This dissimilarity is not an anomaly; it is a conscious choice. It is a result of the legislative preference for discouraging interlocutory review of orders compelling arbitration: "[The FAA's] ban on interlocutory appeals of orders compelling arbitration was added by Congress in 1988 to prevent arbitration from bogging down in preliminary appeals. We have held that routine mandamus review of such orders in state court would frustrate this federal law." Perry Homes ,
The legislative preference for arbitration makes access to mandamus relief more difficult in part because arbitration is represented to be a lower-cost, faster alternative to jury trials: "Because arbitration is intended to provide a lower-cost, expedited means to resolve disputes, mandamus proceedings will often, if not always, deprive the parties of an arbitration agreement's intended benefits when a compel-and-stay order is at issue; accordingly, courts should be hesitant to intervene." In re Poly-America ,
Our Supreme Court imposed this heavy burden on parties seeking interlocutory review of orders compelling arbitration knowing full well that it could result in a waste of the parties' resources to require the parties to arbitrate and only later have the referral to arbitration reviewed by a court:
We agree that post-arbitration review of referral may create ... a huge waste of the parties' resources. But if review is available before arbitration, parties may also waste resources appealing every referral when a quick arbitration might settle the matter. Frequent pre-arbitration review would inevitably frustrate Congress's intent to move the parties to an arbitrable dispute out of court and into arbitration as quickly and easily as possible.
Perry Homes ,
With all this in mind, we turn to the balancing of case-specific benefits and detriments of interrupting or delaying this referral to arbitration. See In re Gulf Expl. ,
II. The case-specific benefits of interrupting or delaying this referral to arbitration do not outweigh the detriments.
Vantage contends that the case-specific benefits of interrupting or delaying the referral of this case to arbitration demonstrate that it has no adequate remedy by appeal. Vantage contends that it will spend more time and money to arbitrate the case instead of continuing to litigate. It also contends that the time and money it has already spent in litigating would be wasted. Finally, it contends both that Martinez Partners should not be given its preference for arbitration because Martinez Partners' conduct is an impermissible tactical decision that prejudices Vantage and that the prejudice would be further compounded by waiting for a post-arbitration appeal.
A. Avoiding further delay and expense
This purported benefit is, on its own, no benefit at all under our Supreme Court's precedents. It is well-established that avoiding further delay and expense that would occur without mandamus intervention is no basis on its own for holding that a final appeal would be inadequate. See In re Gulf Expl. ,
B. Time and money already spent would be wasted
This purported benefit has three problems.
First, most, if not all, of the attorneys' fees Vantage has spent in the litigation may be recoverable. Vantage pleaded a claim for attorneys' fees. Attorneys' fees are not unrecoverable simply because the parties arbitrate the claim rather than litigating it. See In re Gulf Expl. ,
Second, Vantage contends that its time spent in paper discovery is now wasted because the parties must arbitrate. However, Vantage has not shown that it will not be able to benefit from this paper discovery in the arbitration. Any evidence discovered so far could be admissible in the arbitration hearing, and, thus, may very well have not been wasted. See, e.g. , Ellis v. Schlimmer , No. 13-09-00426-CV,
Third, Vantage relies in large part on In re Prudential Insurance Co. of America ,
In no real sense can the trial court's denial of Prudential's contractual right to have [tenant] waive a jury ever be rectified on appeal. If Prudential were to obtain judgment on a favorable jury verdict, it could not appeal, and its contractual right would be lost forever. If Prudential suffered judgment on an unfavorable verdict, Prudential could not obtain reversal for the incorrect denial of its contractual right "unless the court of appeals concludes that the error complained of ... probably caused the rendition of an improper judgment". Even if Prudential could somehow obtain reversal based on the denial of its contractual right, it would already have lost a part of it by having been subject to the procedure it agreed to waive.
*637In re Prudential Ins. Co. ,
The extreme cases that In re Prudential Insurance cited as demonstrating an inadequate remedy by appeal are distinguishable from this case. Generally, avoiding further expense and delay is, on its own, no basis for granting mandamus. An exception to that rule was identified in In re Prudential Insurance . It involved granting mandamus relief to protect a defendant from having to "defend[ ] the claims of more than 8,000 plaintiffs in litigation that would last for years."
C. Martinez Partners' impermissible tactical conduct
Vantage also contends that overturning the trial court's order would avoid the inherent unfairness and prejudice caused by Martinez Partners' belated invocation of arbitration. Vantage contends that Martinez Partners was happy to litigate until the trial court made a comment that Vantage alleges could be interpreted as doubting the strength of Martinez Partners' case. Vantage points to no authority that litigating with such an alleged insight is to be valued above Congress's and the Texas Legislature's preference for arbitration as a vehicle for settling disputes. The judiciary's role among the other branches of government requires that we give deference to legislative priorities such as arbitration. See In re Gulf Expl. ,
*638Vantage asserts that its position is supported by Perry Homes and Tuscan Builders, LP v. 1437 SH6 L.L.C. ,
Tuscan Builders was an interlocutory appeal from a denial of a motion to compel arbitration. Tuscan Builders ,
Given the heavy tilt in favor of arbitration that stems from the legislative priorities expressed in the FAA, the TGAA, and cases applying them, it appears that the detriments of disrupting the arbitration outweigh any benefits. See In re Gulf Expl. ,
III. Vantage's remaining cases are distinguishable.
Vantage relies on two arbitration mandamus cases- In re Sthran ,
In re Sthran is distinguishable because final appeal was found to be inadequate for reasons not present in Vantage's case. Sthran's husband had died in a nursing home. Sthran sued the nursing home for negligence. The trial court compelled arbitration under the nursing home's admission contract. Sthran petitioned for a writ of mandamus directing the trial court to vacate its order compelling arbitration. The court of appeals conditionally granted Sthran's petition, reasoning that Sthran had no adequate remedy by appeal because Sthran had not brought a contract claim and because "delay and expense in cases in which arbitration clauses cover contractual claims 'generally do not render a final appeal inadequate.' " In re Sthran ,
Second, Sthran's was "one of those 'rare cases' when legislative mandates might be construed to conflict."
Vantage cannot rely on In re Sthran because, first, Martinez Partners and Vantage both assert contract actions, and Vantage is asserting and defending against interrelated counterclaims. Vantage's legal expenses may later be shown to have advanced both its contract action and one or more of its other causes of action. Cf. Tony Gullo Motors I ,
In re Villanueva is also distinguishable. Villanueva asserted a tort claim and not a contract claim. Further, Villanueva sued his employer for an on-the-job injury, and the trial court compelled arbitration under Villanueva's employment contract. The court of appeals held that the authority to compel arbitration came from Texas common law, not the FAA or TGAA. That was significant because "[m]andamus is the appropriate procedure by which we may review the trial court's ruling on a motion to compel arbitration under the common law." In re Villanueva ,
However, Texas common law does not govern Vantage's case. Both parties agree that either or both of the FAA and the TGAA govern. Though mandamus may be appropriate for regularly reviewing orders compelling arbitration under Texas common law, see In re Villanueva ,
Vantage also cites In re Team Rocket, L.P. ,
The danger of "compromis[ing] the integrity of the" waiver doctrine is much less compelling here than the danger of compromising statutory venue rights was in In re Team Rocket . Perry Homes stands for the proposition that, in most cases, waiver *640of arbitration can be adequately addressed on final appeal. In contrast, the proper application of the venue statute in In re Team Rocket could not have been protected without mandamus because the defendants would have been forced to litigate in a forum where venue was improper. In re Team Rocket , like In re Sthran , involved using mandamus to preserve statutory rights, but Vantage asserts no statutory rights that require mandamus protection.
Vantage may challenge the referral to arbitration after the arbitration is completed as contemplated by both In re Gulf Exploration and Perry Homes . Because final appeal is adequate for Vantage, it is not entitled to mandamus relief.
Conclusion
We deny the petition for mandamus.
The underlying case is Cause No. 2016-27737; Martinez Partners, LLP v. Offshore Group Investment Limited d/b/a Vantage Drilling International, Vantage Deepwater Drilling, Inc., and Vantage Energy Services, Inc. ; In the 133rd District Court of Harris County, Texas; Hon. Jaclanel McFarland presiding.
"To date, we have never found such a waiver...." Perry Homes ,
The same is true for Okorafor v. Uncle Sam & Associates, Inc. ,
We also deny as moot Vantage's pending Motion for Temporary Relief.
Dissenting Opinion
DISSENTING OPINION
Evelyn V. Keyes, Justice
I respectfully dissent from the majority opinion denying Vantage Drilling International's (Vantage's) petition for writ of mandamus, which requests that we direct the trial court to vacate its order compelling arbitration in this case. The majority opinion effectively annuls the important procedural protection of waiver of the right to arbitrate by substantial litigation conduct.
The majority opinion fails even to acknowledge, much less to apply, the test of waiver of the right to arbitrate by substantial litigation conduct established by the Texas Supreme Court in Perry Homes v. Cull
As this case satisfies every factor of the Perry Homes and Henry test for waiver of arbitration by litigation conduct, and as Vantage has shown that it lacks an adequate remedy by appeal, I conclude that compelling arbitration of this case violates important substantive and procedural rights of the respondent that cannot be protected through any other legal mechanism than reversal of the trial court's order. I would hold that Vantage has shown a clear abuse of discretion by the trial court. Therefore, I would grant the petition.
Background
Martinez Partners, a law firm, represented Vantage in a Foreign Corrupt Practices Act investigation and related matters, but the engagements were terminated, and Vantage hired a new law firm. Vantage did not pay some of Martinez Partners' legal fees, so Martinez Partners sued Vantage and related entities (collectively, "Vantage") on a sworn account. The *641parties' engagement agreements contained arbitration clauses.
Martinez Partners-the movant below for arbitration-filed suit against Vantage in Harris County district court. Vantage answered and counterclaimed for breach of contract, breach of fiduciary duty, and money had and received.
The parties litigated for eleven months, including engaging in extensive document discovery into the lawsuit's merits. Martinez Partners amended its pleadings twice, propounded extensive written discovery, and pursued numerous motions to compel additional discovery. It also added an individual defendant and then nonsuited that defendant in response to a motion to dismiss, and it sought discovery on the motion to dismiss. It later sought sanctions against Vantage's counsel in connection with the dismissed claim. It served ten sets of merits-based written discovery on each of the three defendants. It attempted to avoid providing reciprocal discovery in response to Vantage's requests by disclaiming any obligation to search its principal's email account for communications responsive to Vantage's requests for production, and it rejected Vantage's request to make that principal available to be deposed. Only after an oral ruling from the trial court did Martinez Partners produce communications responsive to Vantage's requests.
At one point, Martinez Partners moved to compel the production of billing information about Vantage's new attorneys. During a hearing on that motion-Martinez Partners' second motion to compel-the key issue in the case arose: whether Texas law provides an offset to Martinez Partners' claims for unpaid invoices based on what Vantage claimed was the undisputed and undisclosed mark-up of almost half a million dollars that Martinez Partners had applied to third-party charges invoiced to Vantage. The trial court expressed doubt about Martinez Partners' legal position, telling Martinez Partners' counsel that "that will be real interesting at trial because in that case, I think you may have a problem.... That's going to be interesting if y'all try it, an interesting issue." Vantage soon thereafter filed a motion for partial summary judgment on its cause of action for breach of fiduciary duty.
Martinez Partners then filed a motion to compel arbitration under both Texas and federal arbitration statutes. Vantage responded, arguing that Martinez Partners had waived arbitration either explicitly, in comments it made to the trial court, or impliedly, by having substantially invoked the litigation process instead of seeking to initiate arbitration. While that motion was pending, Martinez Partners continued to press Vantage for supplemental document production and served more production requests. After the trial court heard preliminary argument on the arbitration issue, Martinez Partners served yet another set of production requests on Vantage.
The trial court ordered that the parties arbitrate all claims that had been asserted in the lawsuit and stayed the lawsuit pending the arbitration's outcome. Vantage petitioned for a writ of mandamus, and Martinez Partners responded. Vantage claims it spent almost $110,000 on Martinez Partners' discovery and incurred approximately $195,000 in legal fees in litigation prior to the trial court's order compelling arbitration.
Analysis
Vantage contends in its petition for a writ of mandamus that Martinez Partners waived the right to arbitrate by its conduct in litigation and that an appeal after a final judgment is inadequate to review its waiver argument. Applying the waiver standards *642promulgated by the Texas Supreme Court, I agree.
A. Standard of Review of Order Granting Motion to Compel Arbitration
The majority has set out at length the high standard for obtaining reversal of an order granting arbitration. Essentially, when both the Federal Arbitration Act (FAA) and the Texas General Arbitration Act (TGAA) apply to an arbitration clause, as here, Texas courts must align the availability of appellate review under Texas procedure as consistently as possible with availability of appellate review under federal procedure. In re Poly-America, L.P. ,
However, despite the strong federal and state barriers to mandamus review of an order granting arbitration, "[e]ven when an order is not reviewable by interlocutory appeal, that does not always preclude review by mandamus." In re Gulf Expl., LLC ,
Mandamus " 'may be essential to preserve important substantive and procedural rights from impairment or loss, [and] allow the appellate courts to give needed and helpful direction to the law that would otherwise prove elusive in appeals from final judgments.' " In re Gulf Expl. ,
B. Waiver of Arbitration by Substantial Litigation Conduct
Here, the issue is waiver of arbitration by substantial litigation conduct. This is precisely the kind of important procedural right the Texas Supreme Court held in In re Gulf Exploration and in In re Prudential that mandamus "may be essential to preserve ... from impairment or loss" and may "allow the appellate courts to give needed and helpful direction to the law" that would elude analysis on appeal from a final judgment. See
The issue of waiver of arbitration by substantial litigation conduct is an issue for the courts rather than the arbitrators. Perry Homes v. Cull ,
To establish implied waiver of the right to arbitrate by substantial invocation of the judicial process, "the [non-movant] ha[s] the burden to prove that (1) [the party moving for arbitration] substantially invoked the judicial process in a manner inconsistent with its claimed right to compel arbitration, and (2) the [non-movant] suffered actual prejudice as a result of the inconsistent conduct." Henry v. Cash Biz, LP ,
How much invocation of the litigation process is "substantial" depends on the context and is similar to estoppel. Perry Homes ,
C. The Totality of the Circumstances Test for Waiver by Substantial Litigation Conduct
Waiver of the right to compel arbitration by litigation conduct must be decided on a case-by-case basis under a totality-of-the-circumstances test established by the Texas Supreme Court in Perry Homes and recently reiterated in Henry. See id. at 591. The relevant factors established in Perry Homes include:
• when the movant knew of the arbitration clause;
• how much discovery has been conducted;
• who initiated it;
• whether it related to the merits rather than arbitrability or standing;
• how much of it would be useful in arbitration; and
• whether the movant sought judgment on the merits.
Id. at 591-92. The supreme court has recently reaffirmed this test in Henry , stating:
Here, the factors generally examined to determine waiver-how much discovery has been conducted, who initiated it, and whether it relates to the merits; how much time and expense has been incurred in litigation; and the proximity in time between a trial setting and the filing of the motion seeking arbitration-may serve as guideposts.
Under Perry Homes and Henry, the courts will defer to the trial court's factual findings if they are supported by the evidence, but where there is "no factual dispute ... regarding whether the [movant] initially opposed arbitration, whether they conducted extensive merits discovery, or whether they sought arbitration late in the litigation process," and where the only remaining question is the legal question of whether the movant's conduct prejudiced the non-movant, the appellate courts may decide the issue of waiver as a matter of law. Perry Homes ,
To determine whether a party has substantially invoked the judicial process, "courts consider a wide variety of factors and look to the specifics of each case." Henry ,
*644G.T. Leach Builders, LLC ,
The court in Henry cited Perry Homes as a case that was illustrative of unequivocal waiver, noting that "the plaintiffs waived the right to arbitrate by participating in extensive discovery including hundreds of requests for production and interrogatories, then requesting arbitration fourteen months after filing suit and only four days prior to the scheduled trial date."
In Perry Homes , the plaintiffs initially opposed arbitration, complaining at length about the incompetence, bias, and unfairness of arbitration, and they asked the court to deny Perry Homes' motion to compel arbitration.
The supreme court concluded, "Such manipulation of litigation for one party's advantage and another's detriment is precisely the kind of inherent unfairness that constitutes prejudice under federal and state law."
D. Application of the Perry Homes Factors to Order Compelling Arbitration in This Case
The abusive manipulation of the proceedings in this case by Martinez Partners is virtually identical to that in Perry Homes , and the prejudice to Vantage is just as great as the prejudice to the non-movant in Perry Homes under the relevant factors:
*645• There is no question that Martinez Partners knew of the arbitration clauses in both its and Vantage's engagement agreements;
• Martinez Partners itself filed the litigation;
• The parties litigated for eleven months, including extensive document discovery into the lawsuit's merits;
• Martinez Partners amended its pleadings twice, propounded extensive written discovery, and pursued numerous motions to compel additional discovery;
• It also added an individual defendant and then nonsuited that defendant in response to a motion to dismiss and sought discovery on that motion;
• It sought sanctions against Vantage's counsel in connection with the dismissed claim;
• It served ten sets of merits-based written discovery on each of the three defendants; and it attempted to avoid providing reciprocal discovery in response to Vantage's requests by disclaiming any obligation to search its principal's email account for communications responsive to Vantage's requests for production, rejected Vantage's request to make him available to be deposed, and only produced communications responsive to Vantage's requests after an oral ruling from the court;
• Martinez Partners filed a motion to compel arbitration under both Texas and federal arbitration statutes only after the trial court expressed doubt about its legal position at a hearing on its second motion to compel when the key issue in the case arose: whether Texas law provides an offset to Martinez Partners' claims for unpaid invoices based on what Vantage claims was the undisputed and undisclosed mark-up of almost half a million dollars that Martinez Partners applied to third-party charges invoiced to Vantage;
• Martinez Partners moved for arbitration only after summary judgment had been filed against it; and
• Even after the trial court heard preliminary argument on arbitration, Martinez Partners served yet another set of production requests on Vantage, with all of its previous requests for document production and motions to compel.
See Perry Homes ,
Martinez Partners' litigation conduct satisfies every one of the factors set out by the Texas Supreme Court in Perry Homes for courts to consider in determining whether a party has waived arbitration and is at least as egregious, if not more egregious, than the litigation conduct found by the supreme court in Perry Homes to constitute waiver of arbitration. See
E. Lack of Adequate Remedy by Appeal
I would likewise hold that the prejudice to Vantage under the circumstances here cannot be remedied on appeal. Whether an appellate remedy is adequate is a practical, prudential determination based on a balancing of public and private interests. See In re Prudential ,
Mandamus review of significant rulings in exceptional cases may be essential to preserve important substantive and procedural rights from impairment or loss, allow the appellate courts to give needed and helpful direction to the law that *646would otherwise prove elusive in appeals from final judgments, and spare private parties and the public the time and money utterly wasted enduring eventual reversal of improperly conducted proceedings.
Any appeal of an eventual arbitration award would be clearly inadequate to compensate Vantage for Martinez Partners' litigation conduct adverse to the right to compel arbitration. Martinez Partners has effectively bought itself a new forum in which it has all the advantages of the vast amount of abusive discovery it obtained from Vantage, as well as the advantage of its own resistance to discovery, and the new forum's lack of familiarity with the circumstances that led the trial court to express skepticism as to Martinez Partners' case and Vantage to file summary judgment against it. I would conclude that this an "exceptional case" in which mandamus relief is "essential to preserve important substantive and procedural rights from impairment or loss[.]" See
Regarding the considerations of wasted time and money, I further observe that, in this case, there is no rapid, inexpensive alternative to traditional litigation. And all of the conditions for granting mandamus from an order compelling arbitration established in Perry Homes are met. There is "no factual dispute ... regarding whether [Martinez Partners] initially opposed arbitration, whether [it] conducted extensive merits discovery, or whether [it] sought arbitration late in the litigation process." See Perry Homes ,
The only question remaining to determine the adequacy of Vantage's remedy by appeal is whether Martinez Partners' conduct prejudiced Vantage. See
Vantage's loss of the entire benefit of Martinez Partners' unequivocal waiver of the right to arbitrate by the trial court's order compelling arbitration requires the conclusion that the trial court clearly abused its discretion and that Vantage has no adequate remedy by appeal.
Conclusion
I would conditionally grant the petition for mandamus.
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