TX STATETexas Court of Appeals, 5th District (Dallas)
2010

Roe v. Ladymon

318 S.W.3d 502Texas Court of Appeals, 5th District (Dallas) • Decided 2010Affirmed

HOLDING

A homeowner sued a contractor and its partner for construction defects. The arbitration clause in the contract only bound the company, not the individual partner. The court ruled that judges—not arbitrators—decide whether non-signatories are bound by arbitration agreements, unless the contract explicitly says otherwise. The partner was not forced into arbitration because he never clearly agreed to it.

KEY FINDINGS

Arbitration Agreement

If you sign a contract as a company representative, you may not be personally bound by its arbitration clause—courts will decide this, not arbitrators

Dispute Resolution

Arbitration clauses must explicitly state that non-signatories (like individual partners or owners) agree to arbitration, or courts will reject arbitration for them

FULL COURT OPINION