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Texas high court hears dispute over who decides arbitration scope in Urban Air injury case

2732409 · March 20, 2025
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Summary

The Supreme Court of Texas heard argument in Serna v. Pearland Urban Air on whether a court or an arbitrator decides if a prior waiver and arbitration agreement covers later visits; counsel for both sides disputed whether the issue is formation of a second contract or the scope of the original agreement.

The Supreme Court of Texas on argument day considered whether courts or arbitrators decide if an existing arbitration clause covers later visits to an indoor recreation facility in Serna v. Pearland Urban Air, case No. 240273.

The question presented centers on whether a parent’s earlier signed release and arbitration agreement at an Urban Air location applies to a subsequent visit months later — a dispute the petitioner says is a contract-formation question and the respondent says is a scope question for an arbitrator. The court heard extended questioning from multiple justices and argument from counsel for both parties before the case was submitted.

Counsel for the petitioner, Mr. Terrazata, argued that the court of appeals reversed the trial court without performing ordinary contract analysis such as offer, acceptance and mutual assent. “Stop putting arbitration above contract law,” Terrazata told the…

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