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Barr v. HCF11/14/2005
{ } Defendant-appellant, HCF, Inc. ("HCF"), appeals a Fayette County Court of Common Pleas decision denying its motion to stay discovery pending arbitration and to compel arbitration.
{ } In November 1997, plaintiff-appellee, Cathy Barr, as responsible party, placed Ethel Yarger into Court House Manor, a nursing home operated by HCF. Appellee signed an admission agreement. The agreement contained the following terms concerning the resolution of disputes:
{ } "B. Resident's Rights. Any controversy, dispute, disagreement or claim of any kind arising between the parties after the execution of this Agreement in which Resident or a person on his/her behalf alleges a violation of any right granted Resident in a State or Federal statute shall be settled exclusively by binding arbitration.
{ } "C. All Other Disputes. Any controversy, dispute, disagreement or claim of any kind arising between the parties after the execution of this Agreement * * * shall be settled exclusively by binding arbitration. This arbitration clause is meant to apply to all controversies, disputes, disagreements or claims including, but not limited to, all breach of contract claims, negligence and malpractice claims, and all other tort claims."
{ } A separate disclaimer, off-set by font and all-capitalized letters, stated the following:
{ } "THE PARTIES UNDERSTAND THAT BY SIGNING THIS AGREEMENT THAT THEY ARE AGREEING TO WAIVE THEIR RIGHTS TO SUE IN A COURT OF LAW AND ARE AGREEING TO ARBITRATE DISPUTES. THE PARTIES DO FOR THEMSELVES, THEIR HEIRS, ADMINISTRATORS AND EXECUTORS, AGREE TO THE TERMS OF THIS AGREEMENT IN CONSIDERATION OF THE FACILITY'S ACCEPTANCE OF AND RENDERING SERVICES TO THE RESIDENT."
{ } In July 2003, Yarger fell while under HCF's care and sustained personal injuries. She died ten days after the fall. In June 2004, appellee, as administratrix of the estate of Ethel Yarger, brought suit against appellant, asserting a wrongful death claim, a survivorship claim, and a violation of the Ohio Patient's Bill of Rights.
{ } Appellant moved the trial court to stay discovery proceedings pending arbitration and to compel arbitration citing the above provisions of the agreement. Appellee opposed the motions arguing that she, as administratrix of the estate, was not a party to the agreement, or alternatively, that the agreement was terminated by its own terms upon the death of Yarger. The trial court, without hearing, denied appellant's motions and issued a journal entry that found the arbitration clause to be unconscionable and thus unenforceable.
{ } Appellant raises two assignments of error:
{ } Assignment of Error No. 1
{ } "THE LOWER COURT ERRED TO THE PREJUDICE OF THE DEFENDANT-APPELLANT HCF, INC. WHEN IT REFUSED TO STAY DISCOVERY AND REFER THE MATTER TO ARBITRATION PURSUANT TO A VALID ARBITRATION CLAUSE."
{ } Assignment of Error No. 2
{ } "THE LOWER COURT ERRED TO THE PREJUDICE OF THE DEFENDANT-APPELLANT HCF, INC. WHEN IT FAILED TO HOLD A HEARING BEFORE REFUSING TO ISSUE AN ORDER REFERRING THIS MATTER TO ARBITRATION."
{ } Because we find the resolution of the second assignment of error to be dispositive, we shall address the assignments out of order. Appellant argues that it was entitled to a hearing pursuant to R.C. 2711.03 prior to the trial court's ruling upon its motions to stay proceedings and compel arbitration. We agree with this argument.
{ } An appellate court will review a trial court's decision to grant or deny a motion to compel arbitration under an abuse of discretion standard. Eagle v. Fred Martin Motor Co., 157 Ohio App.3d
Page 1 2 Ohio Personal Injury Attorneys
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