in Re Siluria (Assignment for the Benefit of Creditors), LLC ( 2022 )


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  •                                       In The
    Court of Appeals
    Ninth District of Texas at Beaumont
    __________________
    NO. 09-22-00280-CV
    __________________
    IN RE SILURIA (ASSIGNMENT FOR THE BENEFIT OF CREDITORS),
    LLC
    __________________________________________________________________
    Original Proceeding
    284th District Court of Montgomery County, Texas
    Trial Cause No. 21-03-03166-CV
    __________________________________________________________________
    MEMORANDUM OPINION
    Siluria (assignment for the benefit of creditors), LLC, (“Siluria ABC”)
    petitioned for a writ of mandamus to compel the trial court to enforce a contractual
    jury waiver in an interpleader action over disputed escrow funds. We temporarily
    stayed the trial and requested a response from the Real Party in Interest, Lummus
    Technology, LLC (“Lummus”).
    The parties memorialized their agreement in two documents executed
    simultaneously. The Asset Purchase Agreement states that the agreement shall be
    governed by and construed in accordance with California law and states that “[a]ll
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    claims and disputes arising under or in connection with this Agreement[]” shall be
    “adjudicated exclusively” in California and “each party waives its right to a trial by
    jury of any such claims or disputes.” The Escrow Agreement expressly permits the
    escrow agent to petition to interplead the escrow funds in a court in Montgomery
    County, Texas, and provides that the escrow agreement is governed, interpreted and
    enforced in accordance with the laws of the State of Texas. The Escrow Agreement
    does not contain a jury waiver. Both agreements provide that the two agreements
    constitute their entire agreement.
    Siluria ABC argues the claims over the disputed funds fall within the
    expansive scope of the jury waiver in the governing law provisions of the Asset
    Purchase Agreement. Lummus argues the governing law provisions contained in the
    Asset Purchase Agreement and the Escrow Agreement diverged regarding
    disposition of the escrow funds under the Escrow Agreement.
    “[A]greements executed at the same time, with the same purpose, and as part
    of the same transaction, are construed together.” In re Prudential Ins. Co. of Am.,
    
    148 S.W.3d 124
    , 135 (Tex. 2004) (orig. proceeding). In Prudential, the guaranty
    agreement incorporated the jury waiver in the parties’ lease. 
    Id.
     Here, the Asset
    Purchase Agreement expressly provided for California choice of law and forum and
    waived trial by jury for any disputes arising in connection with the parties’
    agreement, but the interpleader action authorized by the Escrow Agreement
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    expressly provided for Texas choice of law and forum without a jury waiver. In the
    Interpleader action, neither party has asserted any claims under the Asset Purchase
    Agreement. Thus, Prudential is distinguishable from the facts before this court.
    After reviewing the mandamus record, we conclude the relator has not shown
    that the trial court clearly abused its discretion by refusing to find a jury waiver.
    Accordingly, we lift our stay order of August 31, 2022, and deny the petition for a
    writ of mandamus.
    PETITION DENIED.
    PER CURIAM
    Submitted on September 12, 2022
    Opinion Delivered October 20, 2022
    Before Kreger, Horton and Johnson, JJ.
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Document Info

Docket Number: 09-22-00280-CV

Filed Date: 10/20/2022

Precedential Status: Precedential

Modified Date: 10/21/2022