Trial Court Properly Halted Arbitration Pending Resolution of Umpire Selection Dispute, Texas Appeals Court Rules

GAVELSTON, Texas – A Texas trial court properly enjoined an insurance intermediary from arbitrating with American National Insurance Corp. pending resolution of the parties’ umpire selection dispute, a state appeals court has ruled.

On Aug. 29, the Texas Court of Appeals, 1st District, explained that the temporary injunction “maintains the status quo until the trial court can decide the issues in the declaratory judgment actions filed by both parties.”

In 1998, National Accident Insurance Underwriters and ANICO entered into an underwriting agreement that authorized NAIU to market, underwrite, issue and collect premiums for insurance underwritten and issued by ANICO. NAIU …