In the latest in a series of lawsuits and arbitrations stemming from an oil and gas Concession Agreement with the Republic of Cameroon, Mano DeAyala and Andrew Wright successfully represented Rodeo Resources and others in obtaining reversal of an order denying arbitration. The First Court of Appeals held that Rodeo could compel arbitration despite not being a party to arbitration agreements at issue—a result that is relatively rare and reflects the careful application of Texas’s direct-benefits estoppel doctrine. This type of result is relatively uncommon because courts generally require parties to arbitrate only when they expressly agreed to do so, and compelling arbitration through direct-benefits estoppel presents a demanding legal standard. The appellate court recognized that the plaintiff could not pursue claims dependent on contracts containing broad arbitration provisions while simultaneously avoiding those same provisions. Congratulations to our clients on this successful result. We appreciate the opportunity to represent Rodeo Resources.
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