News & Analysis as of

Arbitration Agreements Contract Terms Class Action

Warner Norcross + Judd

Spring Cleaning Your Dispute Resolution Terms and Conditions: Tips for Avoiding Mass Arbitrations

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Mandatory arbitration provisions, combined with class action waivers, are a common element of consumer-facing terms and conditions. Unfortunately, in recent years, plaintiffs’ counsel have moved from fighting these provisions...more

Fenwick & West LLP

That’s a Wrap: Ninth Circuit Signals Tougher Standards for Enforceability of Online Agreements

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On February 27, 2025, the Ninth Circuit affirmed the district court’s ruling in Chabolla v. ClassPass, finding that the “sign-in wrap agreement” on the ClassPass website was not an enforceable contract because it did not...more

Buchalter

Want to Ensure Arbitration in an E-Commerce World? Time To Refresh Your Website’s Terms of Service

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Recent court decisions have raised the bar for enforceable arbitration provisions in website Terms of Service (ToS) agreements. E-commerce businesses must ensure their website architecture and ToS design meet current legal...more

Orrick, Herrington & Sutcliffe LLP

The Revival of Badie Arbitration Suits in Consumer Finance

Bilateral arbitration is under increasing attack. While businesses evaluate whether and how to update their arbitration clauses in light of the U.S. Court of Appeals for the Ninth Circuit's October decision in Heckman v. Live...more

Troutman Pepper Locke

Fourth Circuit Finds Unilateral Change-in-Terms Provision Rendered the Arbitration Agreement Illusory Under Maryland Law

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On March 11, the U.S. Court of Appeals for the Fourth Circuit affirmed the district court’s denial of a motion to compel arbitration in two class-action lawsuits. The decision potentially has far-reaching implications for the...more

Benesch

Navigating the Fine Print: Ninth Circuit Tightens Scrutiny on Digital Arbitration Agreements

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A recent Ninth Circuit decision, Chabolla v. ClassPass, Inc., underscores critical considerations for retailers with online Terms of Service / Use agreements, particularly regarding arbitration provisions and related consumer...more

DLA Piper

Ninth Circuit Issues First Published Opinion Addressing Mass Arbitration

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The US Court of Appeals for the Ninth Circuit issued its first published opinion addressing mass arbitration on February 28, 2025, following the court’s decision in Heckman v. Live Nation Entertainment, et al., 120 F.4th 670...more

Blake, Cassels & Graydon LLP

Colombie-Britannique : Réforme de la protection des consommateurs visant à limiter certaines modalités contractuelles

Le 25 février 2025, le gouvernement de la Colombie-Britannique (le « gouvernement ») a présenté le projet de loi 4, intitulé Business Practices and Consumer Protection Amendment Act, 2025 (le « projet de loi »), dont...more

Sheppard Mullin Richter & Hampton LLP

Plaintiffs, Not Defendants, Must Initiate Arbitration

Arzate v. Ace American Insurance Company, — Cal. Rptr. 3d — (2025) began as a familiar case: plaintiffs signed arbitration agreements (“Agreement”) with their employer that contained a class action waiver. But when a dispute...more

Troutman Pepper Locke

Ninth Circuit Rejects Plaintiff’s Attempt to Contest Consolidation of Arbitration Claims

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On February 28, the U.S. Court of Appeals for the Ninth Circuit affirmed a district court’s denial of a petition to compel individual arbitration against Starz Entertainment, LLC. The court held that the plaintiff, who...more

Saul Ewing LLP

Pennsylvania Judge Rejects Loan Provider’s Effort to Enforce Arbitration and Class Action Waiver Clauses Found in Smartphone App

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For the past decade, many courts have found class action waivers in consumer contracts to be valid and enforceable under the Federal Arbitration Act. However, recently, the Allegheny Court of Common Pleas in Pittsburgh...more

Hinshaw & Culbertson LLP

Wu v. Uber Tech., Inc.: New York State's Highest Court Issues a Veritable Instruction Manual for Drafting Enforceable Clickwrap...

Just before the 2024 holiday season, in Wu v. Uber Tech., Inc.,[i] New York State's Court of Appeals, the state's highest court, issued a veritable instruction manual for those involved in the online provision of consumer...more

Morris, Manning & Martin, LLP

Mass Arbitration: Managing the Risk and Complexities

For over three decades, arbitration has offered an efficient and cost-effective mechanism for resolving consumer disputes. Companies across a variety of industries, including telecommunications, retail and the gig economy,...more

Seyfarth Shaw LLP

Arbitration Agreement Enforceable By Non-Signatory Alleged Joint-Employers

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Employees who sign an arbitration agreement with one company cannot avoid arbitration with related defendant-companies by arguing they were not parties to the agreement. The California Court of Appeal held that claims against...more

Lewitt Hackman

Beyond the Contract: Non-Signatories to an Arbitration Agreement Can Compel Arbitration

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Departing from the ruling in Soltero v. Precise Distribution earlier this year, the California Court of Appeal in the Second District in Gonzalez v. Nowhere Beverly Hills LLC, created a split of authority regarding an alleged...more

Benesch

Ninth Circuit Provides Long-Awaited Guidance on Mass Arbitration Provisions

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In the long-awaited newest chapter of case law discussing the validity and enforceability of arbitration clauses and class action waivers, the Ninth Circuit on October 28, 2024, dealt a setback, though not a fatal blow, to...more

Fenwick & West LLP

Ninth Circuit Nixes Live Nation’s ‘Unconscionable’ Arbitration Agreement

Fenwick & West LLP on

On October 28, 2024, the Ninth Circuit affirmed the district court’s ruling in Heckman v. Live Nation, finding Live Nation’s Ticketmaster arbitration agreement unconscionable and therefore unenforceable based on their terms...more

Womble Bond Dickinson

Supreme Court Clarifies Arbitration Clauses: Key Takeaways for Companies

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Recent decisions by the U.S. Supreme Court in Smith v. Spizzirri, 601 U.S. 472 (2024) and Coinbase, Inc. v. Suski, 144 S. Ct. 1186 (2024) provide important guidance for companies utilizing arbitration clauses in their...more

Carlton Fields

Conflict of Contracts: SCOTUS Backs Courts Rather Than Arbitrators to Resolve

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With its recent decision in Coinbase Inc. v. Suski, the U.S. Supreme Court held that when parties have agreed to two separate contracts, one sending arbitrability disputes to arbitration and the other sending arbitrability...more

Ervin Cohen & Jessup LLP

Previous Arbitration Agreements Are Potentially Unenforceable Against Re-Hired Employees

Despite its best efforts, the California Legislature has been unable to substantially curtail the popularity of employment arbitrations in California.  The hostility to employment arbitration remains evident, however, among...more

Carlton Fields

Pennsylvania’s “One-Document Rule” Invalidates Carvana’s Arbitration Agreement

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Dana Jennings and Joseph Furlong each bought a car from Carvana, a nationwide online used car dealer. On the day of their purchases, each signed three separate documents: a “retail purchasing agreement,” a “retail installment...more

Littler

Savings Clause Results in Oregon Supreme Court Affirming Enforceability of Arbitration Provision

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On July 8, 2022, in Gist v. ZoAn Management, Inc., the Oregon Supreme Court affirmed the decisions of the trial court and court of appeals granting the defendants’ motion to compel arbitration.  The court concluded that...more

K&L Gates LLP

U.S. Supreme Court to Address Prejudice Requirement for Waiver of Arbitration Agreements

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Agreements to submit disputes to arbitration are commonplace, with parties attempting to avoid the time, cost, and publicity involved in litigating disputes in court. To facilitate these aims, the Federal Arbitration Act (the...more

Nelson Mullins Riley & Scarborough LLP

EMPLOYER ALERT – Senate Clears Way for Major Shift in Banning Arbitration Agreements and Class Waivers for Workplace Sexual...

On February 10, 2022, the U.S. Senate passed the Ending Force Arbitration of Sexual Assault and Sexual Harassment Act (the “Act”, available here: H.R. 4445).  President Biden is expected to sign the bill into law shortly.  ...more

Seyfarth Shaw LLP

Is Arbitration the Answer?

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Most employers have seen the forecasts.  The waves of employees let go in the COVID crisis will file a surge of employment claims.  Worse, plaintiffs’ lawyers will scrutinize the many changes required by the pandemic and...more

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