Herbal Aspect LLC v. Alexander Gish

Herbal Aspect LLC v. Gish, No. 2024AP2615 (Wis. Ct. App. Apr. 30, 2026) · Court of Appeals of Wisconsin, District IV · April 30, 2026 · No. 2024AP2615

Summary

The Wisconsin Court of Appeals held that a circuit court retains authority under WIS. STAT. § 813.02(1) to consider a motion for a temporary injunction to preserve the parties’ rights pending arbitration, notwithstanding a stay under WIS. STAT. § 788.02. The court distinguished this authority from the court’s limited role in determining arbitrability and concluded that the circuit court erred by declining to decide the injunction motion on the merits. The court reversed in part, affirmed in part, and remanded for consideration of the temporary injunction motion.

Holdings

  1. Wisconsin circuit courts retain authority to consider and, when the statutory criteria are satisfied, issue a temporary injunction under Wisconsin Statutes section 813.02(1) in a civil action whose merits will be resolved through arbitration. Section 788.02's requirement to stay the trial does not categorically bar such pre-arbitration relief.
  2. The incorporated Commercial Arbitration Rules of the American Arbitration Association contemplate and permit a party to seek interim measures, including court-ordered injunctive relief, pending arbitration.
  3. The appellate court should remand for the circuit court to exercise its discretion in the first instance; it should not direct the circuit court to grant the injunction.
  4. The denial of the declaration motion is affirmed because the plaintiffs' argument was undeveloped, failed to identify clearly the scope and legal basis of the requested declaration, and did not establish entitlement to the requested relief.

Questions Presented

  1. Whether Wisconsin Statutes section 788.02, which requires a court to stay the trial of an action involving an arbitrable issue, categorically bars a circuit court from considering or issuing a temporary injunction to preserve the status quo pending arbitration.
  2. Whether the arbitration rules incorporated into the operating agreement prohibited the plaintiffs from seeking court-ordered temporary injunctive relief.
  3. Whether the circuit court erred by denying the motion for a declaration concerning Herbal Aspect LLC's legal representation.

Disposition

reversed_and_remanded

Cases Cited (30)

  • L.G. v. Aurora Residential Alts., Inc., 2019 WI 79, 387 Wis. 2d 724, 929 N.W.2d 590(followed and limited)
  • Meyers v. Bayer AG, 2007 WI 99, 303 Wis. 2d 295, 735 N.W.2d 448(followed)
  • Zingsheim v. Aurora Health Care, Inc., 2023 WI 35, 413 Wis. 2d 418, 989 N.W.2d 561(followed)
  • School Dist. of Slinger v. WIAA, 210 Wis. 2d 365, 563 N.W.2d 585 (Ct. App. 1997)(followed)
  • Werner v. Hendree, 2011 WI 10, 331 Wis. 2d 511, 795 N.W.2d 423(followed)
  • U.S. Bank Nat’l Ass’n v. Klein, 2024 WI App 7, 410 Wis. 2d 598, 3 N.W.3d 726(followed)
  • Kemp v. Fisher, 89 Wis. 2d 94, 100, 277 N.W.2d 859 (1979)(followed)
  • Cirilli v. Country Ins. & Fin. Servs., 2009 WI App 167, 322 Wis. 2d 238, 776 N.W.2d 272(followed and limited)
  • First Weber Grp., Inc. v. Synergy Real Est. Grp., LLC, 2015 WI 34, 361 Wis. 2d 496, 860 N.W.2d 498(followed and limited)
  • Midwest Neurosciences Assocs., LLC v. Great Lakes Neurosurgical Assocs., LLC, 2018 WI 112, 384 Wis. 2d 669, 920 N.W.2d 767(followed and limited)

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