West v. Bowser
Decision Date | 25 June 2021 |
Docket Number | A21A0055 |
Citation | 360 Ga.App. 103,860 S.E.2d 904 |
Court | Georgia Court of Appeals |
Parties | WEST et al. v. BOWSER et al. |
Lance T. McCoy, Robert Lige Walker, Cartersville, for Appellant.
Robert Alan Luskin, Robert Alan Luskin, Kathleen Woodruff Simcoe, Atlanta, Robert E. Noble II, for Appellee.
In this interlocutory appeal, Jobe West, individually and as executor of the estate of Ronald West, and Kelly Blottenberger (collectively "plaintiffs") contend that the trial court erred in compelling arbitration in a wrongful death action filed by plaintiffs as the surviving children of Ronald West against Provident Group-Creekside Properties, LLC, d/b/a Provident Village at Creekside, Provident Resources Group, Inc., Provident Resources Management, LLC (collectively "the Provident defendants"), and Monte Bowser. Because we conclude that Jobe lacked the authority to sign the Arbitration Agreement on Ronald's behalf, we reverse the trial court's order compelling arbitration.
Jobe was appointed guardian and conservator of Ronald, his father, and Letters of Guardianship and Conservatorship of Adult Ward were issued by the Probate Court of Carroll County in June 2017. The Letters of Guardianship and Conservatorship each provide that Jobe's "authority to act pursuant to these Letters is subject to applicable statutes and to any special orders entered in this case." In July 2017, Ronald was admitted to Provident Village at Creekside, "a residential community for senior citizens needing assistance." Jobe signed the Resident Agreement as the "Responsible Party" for Ronald as well as a separate Arbitration Agreement with Provident Village at Creekside. Ronald did not sign either agreement.
Additionally, the Agreement provided:
A person signing who routinely makes decisions for the Resident, if not the Power of Attorney or Guardian/Conservator, will be considered a Legal Representative. This executed Agreement becomes a part of the Resident's underlying Admission Agreement(s). The term "Resident" shall refer collectively to those signing with or for the Resident. The Resident will be considered to be a third party beneficiary of this Agreement.... The term "Facility" includes all of the following associated with the above-identified facility: owner, parent company, holding company, subsidiary, manager, employee, person/entity acting on behalf of the facility, consultant, and administrative services provider.
The Agreement also stated that the Jobe submitted an affidavit in which "he averred that the Arbitration Agreement was not explained to him and that he was told that he had to sign a number of documents, including the Arbitration Agreement, in order for Ronald to be admitted to the facility.
According to the complaint filed by plaintiffs, while Ronald was a resident of Provident Village at Creekside in 2018, he was shoved by Bowser, an employee of the facility, and eventually died as a result of his injuries. The Provident defendants answered and filed a motion to dismiss and compel arbitration. Bowser subsequently answered and filed a motion to join the Provident defendants’ motion to dismiss and compel arbitration. After a hearing, the trial court granted the motion to compel arbitration as to all defendants and certified its order for immediate review.
On appeal, plaintiffs contend that the trial court erred in granting defendants’ motion and compelling arbitration for a number of reasons. Plaintiffs assert that Jobe lacked authority to sign the Arbitration Agreement on Ronald's behalf, that the Arbitration Agreement lacked proper legal consideration, that Jobe was fraudulently induced to sign the Arbitration Agreement, and that the Arbitration Agreement is void as against Georgia law and public policy.
1. We first address whether Jobe, as Ronald's guardian and conservator, had the authority to sign the Arbitration Agreement on Ronald's behalf. We conclude he did not.
Whether a valid and enforceable arbitration agreement exists is a question of law. Miller v. GGNSC Atlanta , 323 Ga. App. 114, 117 (1), 746 S.E.2d 680 (2013). (Citations and punctuation omitted.) Aaron v. United Health Svcs. of Ga. , 349 Ga. App. 563, 563-564, 826 S.E.2d 442 (2019). "And the validity of an arbitration agreement is generally governed by state law principles of contract formation." (Citation and punctuation omitted.) United Health Svcs. of Ga. v. Alexander , 342 Ga. App. 1, 2 (2), 802 S.E.2d 314 (2017). See also Lynn v. Lowndes County Health Svcs. , 354 Ga. App. 242, 245 (2), n.3, 840 S.E.2d 623 (2020) (). "As the party seeking arbitration, [defendants] bear[ ] the burden of proving the existence of a valid and enforceable agreement to arbitrate." (Citation and punctuation omitted.) Triad Health Mgmt. of Ga., III v. Johnson , 298 Ga. App. 204, 206 (2), 679 S.E.2d 785 (2009).
The trial court determined that the powers granted to a conservator under OCGA § 29-5-23 (a) (2) and (6) authorized Jobe to bind Ronald under the Arbitration Agreement. While the trial court did not identify any applicable provisions of the Guardianship Code, as the parties point out, this case also implicates a guardian's powers under OCGA § 29-4-23.
As plaintiffs assert, the issue presented in this case falls squarely under this Court's recent holding in CL SNF, LLC v. Fountain , 355 Ga. App. 176, 843 S.E.2d 605 (2020), which was decided after the trial court compelled arbitration in this case. In that case, the appellee was appointed guardian of her mentally incapacitated nephew. Id. at 176, 843 S.E.2d 605. Upon the nephew's admission to a healthcare facility, the guardian signed a Facility Admission Agreement as well as a separate Arbitration Agreement. Id. at 176-177, 843 S.E.2d 605. As in the instant case, the signing of the Arbitration Agreement was not a precondition of admission to the facility. Id. at 177, 843 S.E.2d 605. The guardian subsequently filed a complaint against the facility, alleging that her nephew had been sexually battered and assaulted while a resident. Id. at 178, 843 S.E.2d 605. The facility filed a motion to compel arbitration, which the trial court denied. Id. On appeal, we affirmed the trial court's order, concluding that the guardian did not have authority to sign the Arbitration Agreement on behalf of her nephew. Id. at 184 (1), 843 S.E.2d 605. In reaching our decision, we examined the various powers granted to a guardian under the Guardianship Code, specifically those found in OCGA § 29-4-23 (a), and concluded that the plain language of these provisions did not provide the guardian the authority to sign the pre-dispute Arbitration Agreement. Id. at 178-184 (1), 843 S.E.2d 605. Specifically as to OCGA § 29-4-23 (a) (3), we explained that a guardian's action in signing a pre-dispute arbitration agreement is not the equivalent of initiating, contesting, or taking part in any type of proceeding, including alternative dispute resolution. Id. at 183 (1), 843 S.E.2d 605. Similarly, here, Jobe's power as guardian and conservator to "[b]ring, defend, or participate in legal, equitable, or administrative proceedings, including alternative dispute resolution," did not extend to signing the voluntary pre-dispute Arbitration Agreement on behalf of Ronald.1 Accordingly, Ronald did not assent to the terms of the Arbitration Agreement, and it is not enforceable against him.
(b) Nonetheless, the Provident defendants contend that Fountain was not properly decided and should not be adopted by this Court. However, Fountain is binding precedent on this Court.2 See Court of Appeals Rule 33.2 (a) (2) (...
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