In Re Morgan Stanley & Co., Inc., Successor to Morgan Stanley Dw, Inc., Relator

Summary

The Texas Supreme Court denied Morgan Stanley's petition for mandamus, holding that the trial court was correct to refuse to compel arbitration because the issue of Helen Taylor's mental capacity to contract is a formation question for the court, not the arbitrator. The Court affirmed the lower court's decision and noted that the separability doctrine places such challenges before the judiciary. A dissent argued that the issue should be decided by an arbitrator, while two concurrences agreed with the majority's result but offered differing reasoning.