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Click here for the full text of this decision FACTS:College Station Hospital recruited Wiley Sam Dennis to help begin a cancer treatment center at the hospital. The recruiting agreement the parties signed in June 2000 (effective Aug. 1) guaranteed that Dennis would have gross monthly cash receipts of $29,166.66 for the first 12 months of the contract term. The hospital agreed to loan Dennis any sums less than this amount each month. The hospital also agreed to forgive and cancel 1/36 of the sums lent for every month Dennis worked after the first year, provided he remained on the medical staff and was in good standing with the hospital. The hospital also executed a professional services agreement with College Station Oncology Associates to provide that Dennis would be the exclusive provider of therapeutic radiation oncology services during the four-year term of the contract. This agreement had an arbitration clause. Dennis resigned from the hospital in December 2001 following a dispute. The hospital demanded that Dennis repay the money that was loaned to him. Dennis refused. The hospital sued Dennis for breach of the recruiting agreement. Dennis filed a countersuit alleging breach of contract, fraud and fraudulent inducement under the professional services agreement. After each party filed summary judgment motions, the hospital filed a motion to compel arbitration of “the arbitral claims,” which the hospital argued arose under or related to the professional services agreement. The trial court granted the hospital’s motion for summary judgment on its recruiting agreement claim. The trial court also ordered that Dennis’ counterclaims under the professional services agreement be arbitrated. On appeal, Dennis contends that the trial court erred in not submitting the entire case to arbitration. HOLDING:Reversed and rendered. The court refers to Pennzoil Co. v. Arnold Oil Co., 30 S.W.3d 494 (Tex. App. San Antonio 2000, no pet.), to resolve this dispute. That case found that “[g]enerally, if the facts alleged ‘touch matters,’ have a ‘”significant relationship’ to, are”inextricably enmeshed’ with, or are ‘factually intertwined’ with the contract that is subject to the arbitration agreement, the claim will be arbitrable.” The court acknowledges that other courts have required a closer relationship between the contract containing the arbitration clause and the other issues at hand. The court says a broader test like Pennzoil is more appropriate because the term used in many arbitration agreements and in the agreement at issue here is the term “related,” not “interrelated,” “interwoven,” or “interdependent.” Also, because there is a strong presumption in favor of arbitration, requests to arbitrate should not be denied without positive assurance that the arbitration clause cannot be applied to other claims. The court also reminds the hospital that when a party calls the trial court’s attention to the existence of an arbitration agreement, as the hospital did here, the appellate court must determine the scope of the arbitration agreement. Thus, the court holds that a party cannot limit the claims that will be submitted to arbitration by failing to include certain claims within its motion to compel arbitration. The court adds that claims against a nonsignatory to an arbitration agreement are subject to arbitration if the claims against the nonsignatory “are based on the same operative facts and are inherently inseparable” from claims that could be asserted against the signatory. The court says the hospital’s contract claim against Dennis satisfies this test. OPINION:Reyna, J.; Gray, C.J., Vance and Reyna, JJ.

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