Texas Court Orders Arbitration in Wrongful Death Case

Appeals court mandates arbitration for wrongful death lawsuit in Texas.

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A Texas court of appeals has overturned a lower court decision in a wrongful death lawsuit involving the death of an unborn child, ruling that the case must be reconsidered under an existing arbitration agreement. The 14th District Court of Appeals determined that the trial court made an error when it refused to compel arbitration on the grounds that the employee was exempt under the Federal Arbitration Act (FAA).

The case, BFS Group LLC v. De Leon, centers on Elizabeth Martinez Silva, who began working for Builders FirstSource at its Houston window manufacturing facility in November 2020. When she started her job, Martinez signed an arbitration agreement that covered legal claims related to physical or psychological injuries, accidental death, and negligence. The agreement also extended to claims that could be brought by her immediate family, including wrongful death and survival claims.

In 2023, Martinez became pregnant. Her doctor restricted her from lifting, pushing, pulling, or carrying more than 25 pounds for the remainder of her pregnancy. Despite these limitations, Martinez alleges that in January 2024 she was forced to perform tasks that violated these restrictions while serving as an assembly line leader. She reported experiencing severe pain, spotting, and contractions. The following day, her unborn son, Gustavo De Leon, was pronounced dead.

Martinez and her husband filed a lawsuit on behalf of their unborn child, claiming that Builders FirstSource disregarded medical restrictions and caused a labor-induced miscarriage. In response, the company sought to enforce the arbitration agreement, but the trial court rejected the motion. The judge found Martinez to be a transportation worker, a classification that would exempt her from arbitration under the FAA.

The Texas court of appeals disagreed, ruling that the exemption applies only to individuals actively involved in transporting goods across state or national borders. While Martinez’s job involved working with glass and vinyl shipped from other states and assembling windows destined for out-of-state delivery, her role remained confined to the assembly line. The Texas court found no evidence that Martinez was personally responsible for transporting goods, calling this fact “undisputed.”

Another issue was whether the arbitration agreement was valid since the employer did not physically sign it. The appeals court addressed this concern by noting that an employer can show agreement through conduct, such as applying the terms of the agreement in practice. In this case, Builders FirstSource acknowledged the terms, which the court said was sufficient to enforce the contract.

The ruling sends the case back to the lower court for further proceedings, directing it to consider the arbitration agreement rather than the transportation worker exemption. The appellate court’s opinion also reaffirmed that wrongful death claims brought by family members are bound by the same arbitration terms signed by the employee, as those claims legally stand in the shoes of the deceased or injured party.

This decision highlights the continued strength of arbitration agreements in employment disputes, even in highly sensitive cases involving allegations of wrongful death and pregnancy-related harm. It also clarifies the limits of the transportation worker exemption, which courts interpret narrowly to apply only to those directly engaged in moving goods across state lines.

The case is expected to draw attention from both labor advocates and legal professionals, as it touches on employer liability, worker rights during pregnancy, and the enforceability of arbitration clauses in complex wrongful death claims. While the lower court will revisit the matter, the appellate ruling makes clear that arbitration agreements remain a powerful tool for employers in Texas and beyond.

Sources:

BFS GROUP LLC v. DE LEON (2025)

Agreement compels arbitration for wrongful death of unborn child

BFS Group LLC and Builders FirstSource, Inc. v. Jose Gustavo de Leon, Individually, and as Personal Representative of the Estate of Gustavo de Leon, deceased, and Elizabeth Martinez Silva, Individually Appeal from 157th District Court of Harris County