Minu RX, Ltd. D/B/A Memorial Compounding Pharmacy Minu GP, LLC v. Avant Medical Group, P.A. D/B/A Interventional Spine Associates, and Brett L. Garner D/B/A Allied Medical Centers

Citation: Not availableDocket: 14-15-00378-CV

Court: Court of Appeals of Texas; May 12, 2015; Texas; State Appellate Court

Original Court Document: View Document

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In the case of Khyati Undavia, Minu RX, Ltd., and Minu GP, LLC versus Avant Medical Group, P.A., and Brett L. Garner, the appellants respond to appellees' arguments against their petition for a permissive interlocutory appeal. The appellees argue that there is no controlling issue of law due to disputed facts, and that the case involves ordinary agency principles unsuitable for substantial disagreement. Furthermore, they claim that the appeal would not advance the litigation's termination because factual disputes remain unresolved.

The appellants counter that the primary legal question does not hinge on disputed agent-principal relationships but rather on whether a non-named plaintiff, connected to the release's subject matter, is bound by that release. They assert that the release's broad language implies an intention to cover claims from third parties, and therefore, the question of the extent of this coverage is central. The appellants argue that assessing the scope of the agency and the authority granted to the principal does not require resolving disputed facts, contrary to the appellees' claims. This distinction is critical for the court's ability to grant the appeal.

Appellees’ response fails to address the key legal issue concerning the binding nature of a mutual release on unnamed plaintiffs, which Appellants argue is supported by case law extending such protections to unnamed defendants. Appellants highlight the absence of legal or public policy arguments against applying the same principle to unnamed plaintiffs as has been established for unnamed defendants. Additionally, Appellees’ assertion that the case revolves around basic agency law is contradicted by precedent where courts have applied release protections without examining agency relationships, focusing instead on the defendants' connections to a specified party in the release. 

Case examples illustrate this approach: In Winkler v. Kirkwood Atrium Office Park, the court granted summary judgment based on a release tied to the "Club," concluding that the defendants, connected to the Club’s operations, were protected by the release without considering their agency status. Similarly, in Vera v. North Star Dodge Sales, Inc., the court ruled that unnamed defendants associated with the sale were included in the release based on their connection to the sale, again without agency considerations. This precedent, as seen in Dyrcz v. Longview Enterprise, Ltd., emphasizes a "connection" test rather than agency analysis. Upholding Appellees’ position would necessitate overturning established precedent and invite prolonged litigation.

Longview Enterprise, the parent company of Graham Central Station, successfully obtained summary judgment based on a release agreement. The court determined that the management and staff of Graham Central Station were employed by Longview Enterprise, indicating that the plaintiff intended to release claims against all parties associated with Graham Central Station's operations, including individuals like Mr. Atnip and Longview Enterprise itself. The court clarified that the appeal does not involve typical agency law questions but rather centers on the connection of unnamed defendants to specifically enumerated parties in the release. This connection test applies equally to unnamed plaintiffs, who are also bound by the release if they are closely linked to signatories. The court noted that both Garner and Avant are closely connected to the signatories of the mutual release, as Avant procured insurance for a signatory and managed business dealings related to the other signatory, Sterling. Additionally, Garner serves as an officer for both Sterling and another signatory, Nisal, establishing their binding relationship to the mutual release. Lastly, the court rejected Appellees' argument that the appeal would not advance the litigation's resolution, emphasizing that the key legal question revolves around the connection to the mutual release, not agency relationships, and a favorable ruling would lead to final summary judgment for the Appellants.

An appeal is deemed to significantly expedite the resolution of the case. The core legal issue does not involve agency law, leading to substantial disagreement on whether an unnamed plaintiff is bound by a release connected to the parties and subject matter. The appellants request the Court to approve their petition for a permissive appeal and any other legal or equitable relief. The document complies with Texas appellate rules regarding typeface and word-count limits, containing 1,693 words. It also includes a certificate of service confirming that the reply was emailed to opposing counsel on May 12, 2015.