In re Golden Peanut Co., (Texas 2009) (No. 09-0122) deals with family members who brought a wrongful death action against Grant Drennan’s employer, Golden Peanut Company, LLC. (“Golden Peanut”). Golden Peanut did not subscribe to worker’s compensation insurance, but provided an Employee Injury Benefit Plan which called for binding arbitration of employment-related claims. Golden Peanut filed a motion to compel arbitration. The trial court denied the motion and Golden Peanut appealed.
The Texas Supreme Court, citing In re Labatt Food Service, L.P., __S.W.3d __ (Tex. 2009), held that wrongful death beneficiaries nonsignatories to an arbitration agreement must be compelled to arbitrate when the decedent’s claims would had been arbitrated.
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