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Oklahoma Supreme Court: FAA preempts state ban on nursing‑home arbitration; affirms compelled arbitration in Thompson v. Hartway

Oklahoma Supreme Court · October 7, 2025
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Summary

OKLAHOMA CITY — The Oklahoma Supreme Court on Oct. 7, 2025, affirmed a trial court order compelling arbitration in Beverly Thompson, next friend of Charlene Hughes, v. Hartway Corporation d/b/a Memorial Heights Nursing Center, holding that the Federal Arbitration Act (FAA) preempts the Oklahoma Nursing Home Care Act (NHCA) where the admissions agreement expressly invoked federal law and the record reflected interstate‑commerce connections.

OKLAHOMA CITY — The Oklahoma Supreme Court on Oct. 7, 2025, affirmed a trial court order compelling arbitration in Beverly Thompson, next friend of Charlene Hughes, v. Hartway Corporation d/b/a Memorial Heights Nursing Center, holding that the Federal Arbitration Act (FAA) preempts the Oklahoma Nursing Home Care Act (NHCA) where the admissions agreement expressly invoked federal law and the record reflected interstate‑commerce connections.

Thompson, acting under a durable power of attorney for resident Charlene Hughes, sued the nursing center for alleged medical negligence arising from the resident’s stay. Upon admission, Thompson signed an admissions packet that included a separate, two‑and‑a‑half‑page “agreement to arbitrate” that stated disputes “shall be resolved through arbitration” and explicitly provided that federal law, including the FAA, would govern the clause.

The district court in McCurtain County granted the nursing home’s motion to compel arbitration after a hearing and stayed the judicial proceedings. The Oklahoma Supreme Court reviewed the record de novo and concluded the agreement was…

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