Opinion
08-24-00150-CV
07-11-2024
TAC TOTAL AUTOMATION, INC., TAC INSUMOS INDUSTRIALES, S. DE R.L. DE C.V., CARLOS PABLO LAURA ELIAS, AND LUIS ERNESTO MARTINEZ ONTIVEROS, Appellants, v. MSC INDUSTRIAL SUPPLY, S. DE R.L. DE C.V. AND MSC IMPORT EXPORT LLC, Appellees.
Appeal from the 34th District Court of El Paso County, Texas (TC# 2023-DCV1459)
Before Alley, C.J., Palafox and Soto, J.J.
ORDER
Pursuant to Texas Rule of Appellate Procedure 10.4 (a) the motion ruled on through this Order may have been decided by a single Justice sitting on the panel.
Pending before the Court is Appellants' motion to stay all trial court proceedings pending their interlocutory appeal of an order denying a motion to compel arbitration in the underlying non-compete case. On June 25, this Court entered a temporary administrative stay of all proceedings below pending a response from the Appellees and disposition of this motion to stay. Appellees have filed a response to the motion.
Pursuant to Texas Rule of Appellate Procedure 29.3, this Court "may make any temporary orders necessary to preserve the parties' rights until disposition of the appeal." Tex.R.App.P. 29.3. This authority provides this Court with "great flexibility in preserving the status quo based on the unique facts and circumstances presented." In re Geomet Recycling LLC, 578 S.W.3d 82,89 (Tex. 2019).
Appellants' motion asserts that the parties have executed a valid contract containing a binding and enforceable arbitration provision and that an emergency stay is proper to preserve the status quo of the parties and to limit unnecessary resource expenditures pending the resolution of the question of arbitrability by this Court. Specifically, Appellants object to upcoming discovery deadlines to disclose expert reports and other preparations for trial on the merits, which is currently set for August 19, 2024. Appellees respond that Appellants' request for emergency relief is too broad, as a stay of the entire litigation would prevent Appellees from enforcing the temporary injunctive relief already granted in their favor by the trial court which enjoins the TAC Appellants from conducting various business activities in competition with the Appellees. As Appellees state in their motion, Appellants did not seek interlocutory appellate review of those temporary orders.
Therefore, in order to maintain the status quo pending the outcome of this appeal, the Court GRANTS the motion in part. We lift our temporary administrative stay and further ORDER that the trial court shall stay all proceedings related to trial on the merits, including discovery deadlines, pending resolution of this appeal or further order of this Court. The trial court's February 15th amended order granting temporary injunction shall remain in force and the trial court retains jurisdiction over any proceedings related to the enforcement of the order. The Court denies the remainder of the motion.
IT IS SO ORDERED.