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Class Action Unconscionable Contracts

A class action is a type of legal action where a representative individual or group of individuals can bring a claim on behalf of a larger group or class who share a common legal interest.
Ogletree, Deakins, Nash, Smoak & Stewart,...

California Appeals Court Finds Employer’s Arbitration Agreement With Cost-Sharing and Out-of-State Law Provisions Unconscionable

In a recent ruling, a California appeals court found an arbitration agreement with an eyewear store employee that was presented on a take-it-or-leave-it basis required an arbitrator to apply the laws of another state,...more

Stikeman Elliott LLP

Meal Delivery Service’s Mandatory Arbitration Clause for Couriers Unconscionable: Manitoba Court of Appeal

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The Manitoba Court of Appeal (the “Court”) in Pokornik v. SkipTheDishes Restaurant Services Inc., 2024 MBCA 3, recently upheld a lower court decision dismissing a large online meal delivery service’s motion to stay a class...more

McGlinchey Stafford

Can My Agent Bind Me to an Arbitration Agreement with a Third Party? - McGlinchey Commercial Law Bulletin - August 18, 2023

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Cincinnati v. PE Alms Hill Realty, LLC, 1st Dist. Hamilton, 2023-Ohio-2784. In this appeal, the First Appellate District affirmed the trial court’s decision to grant commercial lenders summary judgment on their breach of...more

Fisher Phillips

SCOTUS Ruling Protects Top 3 Benefits of Arbitration: Key Takeaways for Employers

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Employers seeking to move workplace claims from the courthouse to arbitration received some good news Friday from the U.S. Supreme Court. If a trial court denies a party’s request to compel arbitration, the court must pause...more

Fisher Phillips

SCOTUS Predictions: Divided Court Will Reach Close Decision in Critical Arbitration Case

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Employers that face lawsuits from employees often seek to move such claims from the courthouse to arbitration. But what happens if the trial court refuses to compel arbitration and the employer appeals the decision? Should...more

Stikeman Elliott LLP

Online Meal Service’s Arbitration Clause Doesn’t Deliver the Goods: Manitoba Court Rules in Favour of Courier Who Agreed To It...

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The Manitoba Court of King’s Bench recently rejected a motion by a large online meal delivery service to stay a class proceeding in favour of arbitration in accordance with the terms of a new agreement with its couriers. The...more

Carlton Fields

11th Circuit Compels Arbitration Despite Allegation That Arbitration Agreement Was Procedurally And Substantively Unconscionable

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This case involves a dispute between American Family Life Assurance Company of Columbus (“Aflac”) and a group of independent contractors (“associates”), arising out of alleged misrepresentations by Aflac. Pursuant to their...more

Payne & Fears

Ninth Circuit Reverses Grant of Class Certification and Denial of Motions to Compel Arbitration in Several Uber Class Actions

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In a major victory for ride-share company Uber Technologies, Inc. ("Uber"), the United States Court of Appeals for the Ninth Circuit issued its much anticipated opinion in O'Connor v. Uber Technologies, Inc., Case No....more

Carlton Fields

Case Alleging That Barnes & Noble Wrongfully Shared Customer Information With Facebook Ordered To Arbitration

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Plaintiff filed a class action against Barnes & Noble in the Southern District of New York, alleging that it violated her privacy by sharing information about her purchases with Facebook. Barnes & Noble moved to compel...more

Carlton Fields

Ninth Circuit: Unconscionability Arguments Directed Solely At Class Action Waiver Provisions In Arbitration Agreements Are...

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Utilizing a “sweeping reading of Concepcion,” as characterized by the concurring opinion, the Ninth Circuit has ruled that arguments that “a class action waiver, by itself, is unconscionable under state law or that an...more

Fisher Phillips

Summary Of Post-Trial Briefs Filed In Grubhub Misclassification Case

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The parties in the Grubhub misclassification case are back in court on Monday, October 30, delivering their final closing arguments to the judge. We’ve written about the trial extensively. To sum it up, though: a former...more

Proskauer - New Media & Technology

Ninth Circuit Rejects Claim That Amazon’s Terms and Conditions Are an Unconscionable Contract

In an unpublished opinion, the Ninth Circuit affirmed a lower court’s ruling that had sent a putative class action against Amazon over its pricing practices to arbitration, as per Amazon’s terms of service. (Wiseley v....more

Ballard Spahr LLP

California Supreme Court to Decide Key Finance Lender Law Usury and Unconscionability Issue

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Although the California Finance Lenders Law (the CFLL) does not limit the interest rates that may be charged on loans of $2,500 or more, Section 22302 of the law expressly states that loans made under the CFLL may be held...more

Cohen & Gresser LLP

We Have an Arbitration Agreement. Now What?

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The U.S. Supreme Court, in recent years, has provided companies with a powerful tool to avoid class action lawsuits: arbitration. In a series of decisions, the Supreme Court has held that class action waivers in otherwise...more

Eversheds Sutherland (US) LLP

Forcing the Issue? California Supreme Court Opens Door for Challenges to Mandatory Arbitration Clauses

Consistent with the historical reluctance of California courts to enforce arbitration provisions in consumer contracts, on April 6, 2017, the California Supreme Court ruled that an arbitration provision that waived an...more

Proskauer - Minding Your Business

Recent Decisions Clarify (Un)Enforceability of Class Action Waivers in Employment Agreements

Companies looking to waive class action rights of employees may instead be waving goodbye to provisions in their employment contracts. Two recent decisions in California—one administrative and one in the 9th Circuit—recently...more

Fisher Phillips

Federal Appeals Court Hands Uber Major Victory In Arbitration Agreement Fight

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The 9th Circuit Court of Appeals delivered a significant victory to Uber and other gig economy businesses by reversing a trial court’s denials of Uber’s motions to compel arbitration in companion class action lawsuits brought...more

Pierce Atwood LLP

Consumer Financial Protection Bureau Publishes Proposed Rule Precluding Class Action Waivers in Arbitration Clauses

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As we reported last year, in October 2015 the Consumer Financial Protection Bureau published an outline of proposals that would limit the use of arbitration provisions in contracts for consumer financial products. On May 5,...more

Manatt, Phelps & Phillips, LLP

Advertising Law - January 2016 #2

Uber Drives Settlement With NY AG Over Data Breach, Privacy Violations - In a pair of settlements, ride-sharing company Uber agreed to pay a $20,000 fine for failing to report a data breach in a timely manner as...more

Cozen O'Connor

What the United States Supreme Court’s Decision in Direct TV v. Imburgia Means For Your Consumer Agreements and Arbitration...

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Last week, the United States Supreme Court issued its opinion in Direct TV v. Imburgia, 577 U.S. ___ (2015). This decision is important for manufacturers of consumer products because it fortifies the ability to incorporate...more

Genova Burns LLC

Supreme Court Reiterates The FAA’s Preemptive Authority

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On December 14, 2015, the United States Supreme Court in DIRECTV, Inc. v. Imburgia, 577 U.S. ___, No. 14-462, slip op. at 1 (Dec. 14, 2015), doubled down on its previous holdings that the Federal Arbitration Act (“FAA”)...more

Stoel Rives LLP

United States Supreme Court Once Again Rejects California’s Attempt To Void Class Arbitration Waivers

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In DIRECTV, Inc. v. Imburgia, a decision released this week, the United States Supreme Court rejected the California Court of Appeal’s interpretation of a binding arbitration provision that would have rendered unenforceable a...more

Seyfarth Shaw LLP

Supreme Court to California Courts: You Can’t Ignore Us or the FAA

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On Monday, the U.S. Supreme Court issued its highly-anticipated opinion in DirecTV, Inc. v. Imburgia et al., 577 U.S. ___ (2015), which reaffirmed its ruling in AT&T Mobility LLC v. Concepcion, 56 U.S. 333 (2011), dealing...more

Parker Poe Adams & Bernstein LLP

Supreme Court Agrees to Review California Rule Invalidating Contractor Arbitration Agreements

On October 1, the U.S. Supreme Court agreed to hear the appeal of a company whose mandatory arbitration agreements with its contractors were deemed invalid by California state courts. Once again, the Court will determine...more

Carlton Fields

California Supreme Court Upholds Consumer Contract Arbitration Provision Under California’s Unconscionability Framework

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In a dispute over the purchase of a car, the purchaser filed a class action in California against the car dealer, and the dealer moved to compel arbitration. The dealer invoked the arbitration agreement contained in the...more

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