Supreme Court of Alabama

Ex Parte Greenstreet, Inc. (In Re: Nella Dean Hyde v. Checks Are US Cash Zone Greenstreet, Inc. Quick Cash, Inc…

June 15, 2001806 So. 2d 1203

Summary

The Supreme Court of Alabama granted Greenstreet's mandamus petition in part, vacating the trial court's order allowing discovery on the arbitration provision and requiring a factual predicate before such discovery, while denying the request to compel arbitration at this stage. Justice Moore dissented, arguing the majority erred in finding an abuse of discretion and would resolve the case on the merits of Greenstreet's burden of proof.

Holding

  • Whether the trial court abused its discretion by allowing discovery into the validity of the arbitration provision without a factual predicate.. The trial court abused its discretion; its order allowing discovery is vacated and Hyde must satisfy a factually‑based‑predicate standard before any discovery on arbitrability.
  • Whether Greenstreet is entitled to a writ of mandamus directing the trial court to compel arbitration of Hyde's claims.. Greenstreet is not entitled to such a writ; the trial court must first hold a hearing on Greenstreet's motion to compel arbitration and may not be compelled to grant arbitration at this juncture.

Docket 1992282

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