DALLAS -- Susan Soussan, the arbitrator who presided over theMarch hearing involving Texans Insurance Group and Kevin M. Curley,said it was clear that there was animosity between the two parties.However, an "abrupt and unwarranted termination" was not the way tosolve the problem.

"From the testimony and the demeanor of the witnesses at thearbitration hearing, it became obvious that a personal animus wasbuilding up between Texans and Curley," Soussan said. "Curley hadjust sold the business he had built over an eighteen year period.Texans took over a business with which it was not familiar. More ofan effort should have been made by Texans to work with Curley andvice-versa."

The $2 billion Texans Credit Union bought Curley Insurance GroupLLC and several other companies from Curley in January 2007. He wasfired in April 2007 for claims that included insubordination andalleged unauthorized purchases of tail insurance policies. On July8, Soussan ruled that Texans Insurance did not have reasonablecause for terminating Curley.

"This could have been done through counseling and successivecorrective actions not by an abrupt and unwarranted termination,"she said. "People work together to correct behavior patterns in thework place especially when a company is only four months into athree-year employment agreement with its president."

Texans Insurance said it is reviewing its options following thearbitrator's decision.