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Shroyer v. Foster3/28/2002
Disposition: REVERSED AND RENDERED.
In this appeal, we address whether an arbitration provision in a contract signed by a husband binds his wife. We conclude that when the non-signatory spouse sues for damages based on an alleged breach of that contract, she cannot disavow the arbitration agreement that forms a part of that contract. We also consider whether claims asserted against a principal's employee are subject to the contractual provisions that are applicable to the principal under the terms of the arbitration clause. Because the claims asserted against the employee are based on the same facts as the claims asserted against the principal, we determine the arbitration agreement applies to claims against the employee. In the proceedings below, the party seeking to enforce the arbitration clause filed a declinatory exception raising the objection of prematurity, which was denied by the trial court. We reverse and render judgment sustaining the exception.
FACTUAL AND PROCEDURAL BACKGROUND
Plaintiffs, Roy Allen Shroyer and Allyson Sloane Shroyer, filed suit against defendants, Claude E. Foster and Mary A. Foster. According to the Shroyers' allegations, they purchased a house from the Fosters and later discovered that the house had numerous hidden and latent defects. These alleged defects included roofing and flashing problems, rotten wood in numerous areas of the house, damage to the ceiling and wall of the home resulting from a prior termite infestation, problems with the air conditioning unit, a failed chimney encasement, and structural problems involving the ridge beams. Asserting that the Fosters were aware of these defects but failed to disclose them, the Shroyers seek to have the sale rescinded based on Louisiana's redhibition law.
The Fosters answered, generally denying the allegations of the Shroyers' petition, and filed a third-party demand, naming Michael LeBas and A Professional Home Inspection Company, Inc. ("PHI") as third-party defendants. The Fosters assert that LeBas, acting on behalf of PHI, inspected the house and issued a report based on his findings before they sold the house to the Shroyers. The Fosters claim that if any defects existed, LeBas was negligent in failing to detect them. The Fosters urge that if they are found liable on the principal demand, LeBas and PHI should be held liable to them.
In response, LeBas and PHI filed a dilatory exception raising the objection of prematurity. Therein, they assert that PHI performed its inspection pursuant to an agreement that mandates arbitration of the Fosters' claims. The Fosters opposed the exception urging that they should not be ordered to arbitrate because: 1) Mrs. Foster did not sign the inspection agreement that contains the arbitration clause; 2) LeBas, the inspector, was not a party to the agreement individually, and thus, the claims against him personally would not be subject to arbitration; 3) arbitration of the third-party claim would not resolve the original claim brought by the Shroyers; and consequently, 4) arbitration would not bring about a speedy resolution to the entire matter. When the trial court denied the exception, LeBas and PHI applied to this court for supervisory writs. Recognizing that the judgment denying the exception was an interlocutory judgment subject to immediate appeal, this court denied the writ but remanded the case to the district court with instructions to grant an appeal. This court further ordered a stay of the proceedings in the district court involving LeBas and PHI. Shroyer v. Foster, 00 CW 0901 (La. App. 1st Cir. 6/02/2000). Following that action, the trial court signed an order of appeal and continued the approaching trial without rese
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