Builder Attempts to Compel All Claims to Arbitration
Travis Count Court conducted a hearing to rule on David Weekley Homes' motion to compel arbitration for all claims against them from Richardson. The Richardson's attorney, Mark Smith of Williams Bailey Law Firm responded that the costs to the Richardsons would be unreasonably excessive - well over $24,000 - while court costs in Travis County were only $150. The judge agreed that these excessive fees for arbitration would effectively deny the Richardsons a forum to seek justice.

Builder Attempts to Compel All Claims to Arbitration

Richardson vs. David Weekley Homes

April 26, 2002 -- On Thursday, April 25th, the Travis Count Court conducted a hearing to rule on David Weekley Homes' motion to compel arbitration for all claims against them from Richardson. The Richardson's attorney, Mark Smith of Williams Bailey Law Firm responded that the costs to the Richardsons would be unreasonably excessive - well over $24,000 - while court costs in Travis County were only $150. The judge agreed that these excessive fees for arbitration would effectively deny the Richardsons a forum to seek justice. To save their sacred cow of arbitration, Weekley's attorney counter responded that Weekley would front these arbitration costs to the American Arbitration Association. Mark Smith asked the judge why Weekley would be willing to pay a total of almost $40,000 to arbitrate the dispute when there was a perfectly fair and far less expensive forum in the courts? He then attempted to lay out his argument that the arbitration provision was procedurally unconscionable because the contract was a contract of adhesion, but the judge would not allow him to. She ordered the Richardsons to arbitrate their dispute with Weekley with the American Arbitration Association with Weekley paying the filing fees and arbitrators salaries thus setting up an even further bias against the Richardsons. After the judge issued the order, she then admitted to the attorneys that at first she felt that she might have to recuse herself since she herself was also an arbitrator for the American Arbitration Association, but that ultimately she was okay with it and the order stands.

For More Information Contact:

Dawn Richardson, This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
Mark Smith, Williams Bailey Law Firm LLP (713) 230-2358, http://web.archive.org/web/20030601115935/http://www.williamsbailey.com/