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Zupt, LLC v. Ipoz Systems, LLC and Porter Hedges LLP

Citation: Not availableDocket: 01-14-00371-CV

Court: Court of Appeals of Texas; May 28, 2014; Texas; State Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

The Court of Appeals for the First District of Texas issued an order referring the appeal of ZUPT, LLC against IPOZ Systems, LLC and Porter Hedges LLP to mediation, following the provisions of the Texas Civil Practice and Remedies Code sections 154.021, 154.022, and 154.023. The involved parties are given a ten-day period to object to this mediation referral. They must jointly select a qualified mediator within 15 days and agree on a fee structure. Mediation is mandated to occur within 45 days of the order, and all parties, including legal representatives with settlement authority, must attend. Confidentiality is strictly enforced throughout the mediation process, with the mediator barred from disclosing any confidential information. Following mediation, the parties and the mediator must report the outcome to the Court within two days. Importantly, the mediation order does not modify the existing deadlines for the appellate records and brief submissions as per the Texas Rules of Appellate Procedure. The order was signed by Justice Laura Carter Higley, underscoring the Court's commitment to alternative dispute resolution while maintaining procedural timelines.

Legal Issues Addressed

Confidentiality in Mediation

Application: Confidentiality is a crucial aspect of the mediation process, with restrictions on disclosure of communications.

Reasoning: Confidentiality is emphasized throughout the mediation process, restricting disclosures of communications except as legally permitted. The mediator is prohibited from revealing any confidential information shared by either party.

Mandatory Attendance and Settlement Authority

Application: Mandatory attendance at mediation is required for all parties or their representatives with settlement authority, along with their legal counsel.

Reasoning: Attendance at mediation is mandatory for all parties or their representatives with settlement authority, alongside their legal counsel.

Mediation Procedure and Deadlines

Application: The order establishes strict deadlines for notifying the court of mediator selection, conducting mediation, and reporting the outcome.

Reasoning: The order sets specific deadlines: within 15 days, parties must submit a 'Parties’ Notification to Court of Mediator' form; mediation must occur within 45 days; and within two days post-mediation, the parties and mediator must inform the Court whether the dispute was settled.

Objection and Selection of Mediator

Application: Parties have a specified time frame to object to mediation and are required to select a qualified mediator and agree on a fee.

Reasoning: The parties have ten days from receiving the order to file any objections. They must select a qualified mediator and agree on a fee, which will be considered reasonable and taxed as part of the appeal’s costs unless otherwise agreed.

Preservation of Appellate Timelines

Application: The referral to mediation does not affect the existing appellate timelines for filing records and briefs.

Reasoning: The order does not alter the existing timelines for the appellate record and briefs as per Texas Rules of Appellate Procedure.

Referral to Mediation under Texas Civil Practice and Remedies Code

Application: The Court of Appeals for the First District of Texas referred the appeal to mediation pursuant to sections 154.021, 154.022, and 154.023.

Reasoning: An order issued on May 28, 2014, by the Court of Appeals for the First District of Texas refers the appeal of ZUPT, LLC against IPOZ Systems, LLC and Porter Hedges LLP to mediation. This referral is made under the Texas Civil Practice and Remedies Code sections 154.021, 154.022, and 154.023.