Actually a question about arbitration - or eventually small claims

[seeeker]

I am trying to initiate an arbitration process involving an experience I had this summer with a moving company. I had a residential move between states this summer and it was an absolute nightmare from start to finish. My quote/contract for the move directly refers to arbitration in the event of a dispute, but offers no other specifics. I had one phone call with the company to challenge them on the dispute resolution process and they mentioned arbitration. (and then quickly got off the phone).

• How do I begin an arbitration process?
• Do I just hire an arbitrator myself to get this started?
• Does the company have a legal requirement to respond to arbitration?
• Does it matter what state they are in? The business address for the moving company is Illinois. The move was from Colorado to Tennessee. The contract with the moving company seems to require that any litigation be conducted in the jurisdiction fo the state of Texas. Does any of that matter?

If this all fails then I will have to pursue small claims court.

Thank you for any guidance.

 

[Zigner]

I am trying to initiate an arbitration process involving an experience I had this summer with a moving company. I had a residential move between states this summer and it was an absolute nightmare from start to finish. My quote/contract for the move directly refers to arbitration in the event of a dispute, but offers no other specifics. I had one phone call with the company to challenge them on the dispute resolution process and they mentioned arbitration. (and then quickly got off the phone).

How do I begin an arbitration process? Do I just hire an arbitrator myself to get this started? Does it matter what state they are in? The business address for the moving company is Illinois. The move was from Colorado to Tennessee. The contract with the moving company seems to require that any litigation be conducted in the jurisdiction fo the state of Texas. Does any of that matter?

If this all fails then I will have to pursue small claims court.

Thank you for any guidance.

Yes, all of that matters. Your contract should address these matters.

 

[seeeker]

Hi thanks for the reply and please be as specific as possible. The contract only describes the arbitration process, and that this may be the preferable course in the even of a dispute. It mentions that the company is required to have an arbitration process in place but does not describe it in detail.
Contract:
"Section 49 U.S.C. Sections 375.211 provides that a mover must have a program in place to provide shipper with an arbitration alternative. Arbitration is optional and not required by law. Summary of the arbitration process:..."

It describe at length the general process of arbitration, but does not instruct any specific steps or which side initiates.

 

[Zigner]

Hi thanks for the reply and please be as specific as possible. The contract only describes the arbitration process, and that this may be the preferable course in the even of a dispute. It mentions that the company is required to have an arbitration process in place but does not describe it in detail.
Contract:
"Section 49 U.S.C. Sections 375.211 provides that a mover must have a program in place to provide shipper with an arbitration alternative. Arbitration is optional and not required by law. Summary of the arbitration process:..."

It describe at length the general process of arbitration, but does not instruct any specific steps or which side initiates.

You may wish to consult with a local attorney regarding this matter. We can't tell if you are required to pursue arbitration based on your contract and contract review is beyond the scope of this forum.

 

[seeeker]

In terms of required to pursue arbitration or not, I am in favor of arbitration over court certainly. I think my question boils down to how to start the process. If there is nothing in the contract about how the process initiates, do I hire an arbitrator on my own? Are they legally required to respond to arbitration? Or should I call the company and ask them for specific steps?

I did have one phone call with the company a few days ago and they mentioned arbitration and that I should send them an email first with my arguments. I did send that, and as with all other communication, they probably will not reply.

 

[LdiJ]

In terms of required to pursue arbitration or not, I am in favor of arbitration over court certainly. I think my question boils down to how to start the process. If there is nothing in the contract about how the process initiates, do I hire an arbitrator on my own? Are they legally required to respond to arbitration? Or should I call the company and ask them for specific steps?

I did have one phone call with the company a few days ago and they mentioned arbitration and that I should send them an email first with my arguments. I did send that, and as with all other communication, they probably will not reply.

They likely will need time to run it by their attorney before they reply.

 

[seeeker]

That makes sense. They've been so horrible so far I am expecting them to just ignore me. That's why I'm wondering how I can begin the process and compel them to respond. Just gathering info now, get a plan lined up.

 

[Zigner]

Your contract likely states which arbitration body is to be used. Contact them.

 

[quincy]

Here is a link to Texas “Alternate Methods of Dispute Resolution:”
https://law.justia.com/codes/texas/2019/civil-practice-and-remedies-code/title-7/

Chapter 171 is on General Arbitration.

 

[seeeker]

It does not, that's why I am asking what the heck do I do. I said that several times, the contract doesn't say anything specific, it only describes the above quote and then generally desribes the process. No specifics on how to initiate the process.
It does say:
"The initiating party or claimant must submit a written brief summarizing their legal position and factual claims...."
But it does not say to whom this is submitted. I have sent the company an email with my arguments as they requested, but that is not arbitration. It would hardly be neutral if submitting my arguments to the company itself is seen as arbitration.

 

[quincy]

If the contract you signed requires arbitration in the state of Texas, you should review the Texas Rules of Civil Procedure, specifically as it applies to arbitration.

How much money is involved? You would be smart to consult with an attorney for a personal review of your contract and for assistance in proceeding.

 

[seeeker]

Here is a link to Texas “Alternate Methods of Dispute Resolution:”
https://law.justia.com/codes/texas/2019/civil-practice-and-remedies-code/title-7/

Chapter 171 is on General Arbitration.

Thanks much I will look at this.

If the contract you signed requires arbitration in the state of Texas, you should review the Texas Rules of Civil Procedure, specifically as it applies to arbitration.

How much money is involved? You would be smart to consult with an attorney for a personal review of your contract and for assistance in proceeding.

The damages that are clear and obvious are about $1600 in furniture. There were also boxes of belongings wrongly delivered to another customer out of state (this customer contacted me notifying me they had some of my stuff.) There are also several boxes which have been completely lost altogether. I am missing things. It was such a negligent mess - on delivery day the movers never cross checked the inventory, they just just unloaded everything and jumped back in their truck and took off.
It's complicated - I can't account for exactly every item in the mis-delivered/lost boxes, because everything had been in storage for about a year. But I do know at least two items that have vanished. So exactly how many boxes have been lost altogether is unknown.

 

[zddoodah]

How do I begin an arbitration process?

Depends on which organization is used for the arbitration, but typically, the petitioner files a demand in arbitration and serves it on the other side.

Do I just hire an arbitrator myself to get this started?

No. An arbitrator gets appointed by the organization that conducts the arbitration in accordance with that organization's rules..

Does the company have a legal requirement to respond to arbitration?

No.

Does it matter what state they are in? The business address for the moving company is Illinois. The move was from Colorado to Tennessee. The contract with the moving company seems to require that any litigation be conducted in the jurisdiction fo the state of Texas. Does any of that matter?

Yes. All of it matters.

Can you quote the exact language of the arbitration provision in the contract? The one sentence you quoted is only helpful in that it says arbitration is optional.

I am in favor of arbitration over court certainly.

Out of curiosity, why? If your dispute is small enough that small claims court is an option, that will almost certainly be a better and less expensive option for you (although it will have its own set of potential problems). How much money is at issue, by the way?

 

[Zigner]

What did you agree was the limitation of liability (it's in the contract).

 

[quincy]

As a note: NO ONE on this forum can analyze contracts. It is not only not permitted on this forum, contract analysis is considered the practice of law. You will need an attorney licensed to practice in your jurisdiction if you wish to have the contract personally reviewed.

It is also important to have contracts read in their entirety as opposed to reading a clause or two pulled from the contract.

Because your losses appear to fall within small claims limits, it is possible that seeking arbitration will be more trouble than it is worth - unless, of course, your contract binds you to arbitrating any dispute.