In Re Phelps Dodge Magnet Wire Co.
Alfredo Chavelle, a former mechanic at Phelps Dodge Magnet Wire Company, filed a worker's compensation claim following a job-related injury. Subsequently, he was laid off and believed his termination was due to age discrimination and retaliatory discharge. Chavelle initiated a lawsuit against Phelps Dodge, prompting the company to file a motion to compel arbitration based on its employee handbook's Problem Solving Procedure (PSP). The trial court denied this motion, leading Phelps Dodge to seek a writ of mandamus. The appellate court concluded that the PSP did not constitute a valid arbitration agreement, ruling it was merely an internal grievance procedure that lacked the ability for parties to select independent arbitrators, as the arbitrators were exclusively company employees. Consequently, the appellate court denied the mandamus relief, affirming the trial court's decision.