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NO. _____________
In the Fifth Court of Appeals Dallas, Texas
IN RE TAILWIND SPORTS CORP. AND LANCE ARMSTRONG
Relators
ORIGINAL PROCEEDING FROM CAUSE NO. DC-13-01564 116TH JUDICIAL
DISTRICT COURT OF DALLAS COUNTY, TEXAS
HON. TONYA PARKER PRESIDING
EMERGENCY MOTION FOR TEMPORARY RELIEF PENDING DETERMINATION OF
PETITION FOR WRIT OF MANDAMUS
TO THE HONORABLE FIFTH COURT OF APPEALS:
Pursuant to Texas Rule of Appellate Procedure 52.10, Relators
Tailwind
Sports Corp. (erroneously sued as Tailwind Sports, Inc.) and
Lance Armstrong
(together, Relators) respectfully ask the Court to issue an
order staying any
further action in the arbitration (set for March 17, 2014) that
is the subject of this
original proceeding, including any discovery (specifically but
not limited to a
deposition set for March 6, 2014), while this matter remains
pending before the
Court. Relators respectfully show:
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I.
This emergency motion is being filed with a petition for writ of
mandamus,
in which Relators complain that the trial court abused its
discretion by failing to
stay an arbitration scheduled for March 17, 2014. See Exhibit A.
This Courts
intervention is necessary, while the petition remains pending,
to prevent Relators
from having to incur the time, expense, and inconvenience of
submitting to
discovery and preparing for a re-convened arbitration that
originally ended in
early 2006 and was fully and finally resolved by a Compromise
Settlement
Agreement and an agreed Final Arbitration Award.
II.
As set out fully in the mandamus petition, Relator Tailwind
Sports Corp.
contends that the trial court abused its discretion because
Tailwind dissolved more
than three years before SCA made the instant claims and
therefore can neither sue
nor be sued under Texas or Delaware law. See MR 632-52. A claim
against a
dissolved entity not brought within a three-year survival period
is extinguished,
and any judgment on that claim is a nullity. Pellow v. Cade, 990
S.W.2d 307, 313
(Tex. App.Texarkana 1999, no pet.).
When facing a lawsuit, a defunct entity in Tailwinds position
may be
dismissed through a plea to the jurisdiction. See Tex. Dept. of
Parks & Wildlife v.
Miranda, 133 S.W.3d 217, 226-27 (Tex. 2004). Tailwind has
attempted to
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accomplish the equivalent before the arbitrators and in the
trial court, but despite
its undisputed status, has not succeeded in extricating itself
from this matter.
Tailwind should not be subjected to arbitration any more than
traditional
litigation. Forcing it to endure arbitration when it cannot be
held liable on any
judgment would be senseless. The Court should stay the
arbitration pending action
on Relators petition.
III.
The mandamus petition raises several other issues applicable to
both
Relators that likewise present compelling reasons for a stay.
Relators contend that
the trial court abused its discretion to the extent it (1)
improperly deferred to the
arbitrators on the issue of arbitrability; (2) misconstrued the
Compromise
Settlement Agreement at issue as conferring authority on the
arbitrators to decide
any and all disputes between the parties, not just those arising
under or in
connection with the relevant agreements; (3) erroneously held
that Relators waived
their right to challenge arbitrability by waiting until the
arbitrators decided to re-
convene before filing their motions to stay and by filing a
motion for sanctions in
2006, shortly after the original dispute concluded; (4)
determined that the
arbitrators are authorized to act on a request for sanctions
against Relators for
conduct occurring during the 2006 proceeding; and (5) concluded
that the
arbitrators are authorized to consider a request for forfeiture
based on a third-party
investigation concluded years after the settlement and agreed
arbitration award.
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IV.
If the Court were to agree with Relators position that this
dispute is not
arbitrable, the final arbitration hearing set for March 17 and
all discovery taking
place in the interim would be a waste and also improper. The
discovery at issue
includes a deposition of Relator Lance Armstrong set by order of
the arbitrators
and noticed for March 7, 2014. See Exhibit B.
V.
The very act of submitting to discovery and the re-convened
arbitration of a
long-resolved dispute will cause Relators irreparable harm. A
stay of all arbitration
proceedings, including discovery, is necessary to protect
Relators substantial
rights. Relators therefore ask the Court to grant this motion
and issue the requested
stay to prevent this untenable result from occurring while the
mandamus petition
remains pending.
PRAYER
Relators seek an order staying the March 17, 2014 arbitration
and all related
proceedings and deadlines, including discovery, until this Court
determines the
merits of the petition for writ of mandamus. Relators request
all other appropriate
relief to which they are entitled.
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Respectfully submitted,
/s/ D. Todd Smith Timothy J. Herman State Bar No. 09513700
[email protected] Sean E. Breen State Bar No. 00783715
[email protected] HOWRY BREEN & HERMAN, L.L.P. 1900 Pearl
Street Austin, Texas 78705 (512) 474-7300 (512) 474-8557 (fax)
Michael K. Hurst State Bar No.10316310 [email protected] A. Shonn
Brown State Bar No. 24007164 [email protected] GRUBER HURST
JOHANSEN HAIL SHANK 1445 Ross Ave., Suite 2500 Dallas, Texas 75202
(214) 855-6800 (214) 855-6808 (fax) D. Todd Smith State Bar No.
00797451 [email protected] Brandy M. Wingate State Bar No.
24037046 [email protected] SMITH LAW GROUP, P.C. 1250 Capital
of Texas Highway South Three Cielo Center, Suite 601 Austin, Texas
78746 (512) 439-3230 (512) 439-3232 (fax) Counsel for Relators,
Tailwind Sports Corp. and Lance Armstrong
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CERTIFICATE OF COMPLIANCE WITH RULE 52.10
Relators certify that they have notified or made a diligent
effort to notify all
parties to this mandamus proceeding, by expedited means, that a
motion for
temporary emergency relief has been or will be filed with
Relators petition for
writ of mandamus.
/s/ D. Todd Smith D. Todd Smith
CERTIFICATE OF SERVICE
On March 3, 2014, in compliance with Texas Rule of Appellate
Procedure
9.5, I served this document by e-service, e-mail, facsimile, or
mail to the
following:
Hon. Tonya Parker 116TH JUDICIAL DISTRICT COURT George L. Allen,
Sr. Courts Building 600 Commerce Street, Box 640 Dallas, Texas
75202 Respondent Jeffrey M. Tillotson LYNN TILLOTSON PINKER &
COX, L.L.P. 2100 Ross Avenue, Suite 2700 Dallas Texas 75201 Counsel
for Real Party in Interest SCA Promotions, Inc.
/s/ D. Todd Smith D. Todd Smith
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IN THE MATTER OF AN ARBITRATION BETWEEN
LANCE ARMSTRONG and TAILWIND SPORTS CORP.
Claimants,
v.
SCA PROMOTIONS, INC., ET AL.
Respondents.
ARBITRATION BEFORE THE HONORABLE RICHARD FAULKNER, RICHARD
CHERNICK AND TED LYON
PROCEDURAL ORDER NUMBER 4
These parties return to this Arbitration Tribunal to consider
SCA Promotions Inc.'s
Motion for Requested Relief following the parties' submissions
to the I 16th Judicial District
Court of their dispute concerning this Tribunal's Partial Final
Award on Jurisdiction. The
decision of the Arbitration Tribunal on the Request for Relief
presently addressed does not
waive or prejudice the parties' positions in the 116111 Judicial
District Court. The Tribunal will
comply with any decision of the District Court vacating the
Partial Final Award on Jurisdiction
or enjoining this arbitration. Absent any such decisions, this
case will proceed to trial on the
merits as stated below.
The Tribunal has reviewed the parties' submissions and requested
confirmation of
proposed dates for a hearing on the merits. In response to that
request counsel for both parties
has indicated that March 17, 18 and 19, 2014, are acceptable for
the hearing on the merits.
Therefore certain issues are now appropriate for decision.
Orders
Re nested Relief Number 1: The Tribunal will proceed to trial on
the merits of SCA
Productions, Inc.'s claims on March 17, 2014,
MR 1418Exhibit A
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. The hearing will continue on March 181h and 191h until
concluded.
Re uested Relief Number 2: The Tribunal herby unanimously orders
the deposition of
Mr. Lance Armstrong be taken. Counsel shall establish an
agreeable date, time and place for the
deposition. Only the parties and their counsel shall attend Mr.
Armstrong's deposition.
Re uested Relief Number 3: The requested relief is premature.
However, the Chairman
of the Tribunal can be available on the date of the deposition
to immediately rule on any
objections that may be made.
Re uested Relief Number 4: The Tribunal is prepared to promptly
rule on any subpoena
requests and to execute and issue such subpoenas as may be
necessary to secure the attendance
of any witnesses within their jurisdiction. The subpoena of any
named parties should not be
necessary. Counsel are requested to discuss this issue. If they
are unable to agree, the Tribunal
will act appropriately.
Re uested Relief Number 5: Arbitration is intended to be a
private process. Any
potential interest of the public does not outweigh the
traditional expectations of arbitration
privacy. The Tribunal DENIES the request to permit members of
the public to attend the hearing
on the merits.
~ This procedural order is issued to the parties in Dallas
County, Texas, this ~day of January, 2014.
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MR 1419
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214-981-3839 04:22:50 p.m. 02-26-2014
IN THE MATTER OF AN ARBITRATION BETWEEN
LANCE ARMSTRONG and TAILWIND SPORTS, INC.
Claimants, v.
ARBITRATION BEFORE THE HONORABLE RICHARD FAULKNER, RICHARD
CHERNICK, AND TED LYON
SCA PROMOTIONS, INC., ET AL.,
Respondent.
RESPONDENT'SAMENDEDNOTICE OF INTENTION TO TAKE ORAL DEPOSITION
OF CLAIMANT LANCE ARMSTRONG
TO: Claimants Lance Armstrong, Tailwind Sports, Inc. and William
Stapleton, by and through their attorneys of record, Timothy J.
Herman and Sean E. Breen, HOWRY BREEN & HERMAN, L.L.P., 1900
Pearl Street, Austin, Texas 78705-5408.
Please take notice that Respondent SCA Promotions, Inc., by and
through its
attorneys, will take the deposition of Claimant Lance Armstrong
pursuant to the Panel, on
Thursday, March 6, 2014,
will continue from day-to-day until completed. The deposition
will be taken before a
Certified Shorthand Reporter, Notary Public, or other officer
duly authorized to administer
oath and may be videotaped.
Counsel for Claimants is invited to attend and examine the
witness.
The deposition is noticed and will be taken without prejudice to
Respondent's right
to depose this party in the future during the course of
discovery.
RESPONDENT'S NOTICE OF INTENTION TO TAKE ORAL DEPOSITION OF
CLAIMANT LANCE ARMSTRONG Pagel
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MR 1420Exhibit B
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214-981-3839 04:23:40 p.m. 02-26-2014
February 26, 2014 Respectfully submitted,
Jeffrey M. Tillotson, P.C. Texas Bar No. 20039200
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LYNN TILLOTSON PINKER & Cox, L.L.P. 2100 Ross Avenue, Suite
2700 Dallas, Texas 75201 (214) 981-3800 Telephone (214) 981-3839
Facsimile
ATTORNEYS FOR RESPONDENT
CERTIFICATE OF SERVICE
The undersigned hereby certifies that the forygoing document was
served in compliance with the Arbitration Panel by serving a copy
to the following counsel of record on this 26th day of February,
2014:
Via Facsimile Timothy J. Herman Sean E. Breen . HOWRY BREEN
& HERMAN, L.L.P. 1900 Pearl Street Austin, Texas 78705-5408
(512) 474-7300 (512) 474-8557 Fax
Jeffrey M. Tillotson, P.C.
RESPONDENT'S NOTICE OF INTENTION TO TAKE ORAL DEPOSITION OF
CLAIMANT LANCE ARMSTRONG
I
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MR 1421
EMERGENCY MOTION FOR TEMPORARY RELIEF PENDING DETERMINATION OF
PETITION FOR WRIT OF MANDAMUSExhibit AExhibit B