News & Analysis as of

Consumer Contracts Arbitration Agreements Motion to Compel

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

Frost Brown Todd

Clicking Has Consequences: Fourth Circuit Rules Streaming Service’s Arbitration Clause in Website Registration Is Enforceable

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Proponents of arbitration received a victory in federal court this past Tuesday when the U.S. Court of Appeals for the Fourth Circuit issued its published decision in Dhruva v. CuriosityStream, Inc. ...more

Troutman Pepper Locke

Fourth Circuit Affirms Denial of Motion to Compel Arbitration Finding Duty to Read a Contract Does Not Encompass Scrolling Through...

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The U.S. Court of Appeals for the Fourth Circuit recently affirmed a district court’s decision denying a defendant’s motion to compel arbitration, underscoring the importance of clear and conspicuous notice in online...more

Kilpatrick

Seventh Circuit sends Menards in-store pickup fees suit to arbitration

Kilpatrick on

In September 2024, the Seventh Circuit affirmed the grant of a motion to compel arbitration in a proposed class action claiming that Wisconsin-based retailer Menards used a “deceptive bait-and-switch scheme” to charge...more

Carlton Fields

Supreme Court of Mississippi Enforces Arbitration Agreement

Carlton Fields on

The Supreme Court of Mississippi has reversed and remanded a trial court’s refusal to enforce an arbitration agreement after rejecting the plaintiff’s arguments against arbitration. The Court also instructed the trial court...more

Carlton Fields

Third Circuit Affirms Denial of Motion to Compel Car Rental Class Action to Arbitration Based on Insufficiently Incorporated...

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Seven plaintiffs filed a putative class action against a car rental company and its subsidiary for allegedly unauthorized charges incurred when the plaintiffs rented cars from the company....more

Pierce Atwood LLP

The District of Massachusetts Orders that Comcast Subscribers Must Individually Arbitrate Privacy Class Action Claims

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On November 4, 2019, in Wainblat v. Comcast Cable Communications, LLC, et. al., No. 19-cv-10976, the District of Massachusetts ordered that a consumer privacy class action against Comcast must be arbitrated on an individual...more

Mintz - Arbitration, Mediation, ADR...

Does the Physical or Mental Impairment of a Party Make An Arbitration Agreement Voidable?

For an arbitration agreement to be enforceable, the parties must have a reasonable opportunity to understand its terms. See Fagerstrom v. Amazon.com, Inc., 141 F. Supp. 3d 1070 (S.D. Cal. 2015). With this principle in mind,...more

Carlton Fields

Second Circuit Holds Arbitration Clause Found in Hyperlink in a Confirmation Email Unenforceable

Carlton Fields on

SquareTrade, Inc. (“SquareTrade”) sells protection plans for consumer products. Adam Starke (“Starke”) purchased a SquareTrade plan from Amazon to cover a CD player ordered from Staples....more

Carlton Fields

Third Circuit Compels Arbitration Finding that Failure to Carefully Read Arbitration Agreement Does Not Vitiate Assent

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Plaintiff entered into an agreement with Kaplan University (Kaplan) as part of registration for online courses through the university’s website portal. ...more

Mintz - Arbitration, Mediation, ADR...

Non-Signatory to Arbitration Agreement Cannot Compel Arbitration When New York Convention Applies

The Eleventh Circuit Court of Appeals held recently that it could not compel arbitration demanded by a non-signatory to an arbitration agreement when the New York Convention applied. See Outokumpu Stainless USA, LLC v....more

Carlton Fields

Eleventh Circuit Reverses Order Compelling Arbitration Between Non-Signatories

Carlton Fields on

Plaintiff Outokumpu Stainless USA, LLC (“Outokumpu”) contracted with F.L. Industries, Inc. “”FLI”), a German company, to provide cold rolling mills (“CRMs”), which are used in the production of certain steel products. FLI...more

Mintz - Arbitration, Mediation, ADR...

The Right to Compel Arbitration Under the FAA Can Be Overridden by Another Federal Statute

The Federal Arbitration Act (“FAA”) reflects a strong federal policy in favor of arbitration. In extraordinary cases, however, a dispute that otherwise would be arbitrable under the FAA could be rendered non-arbitrable by...more

Womble Bond Dickinson

Minnesota Court Grants Non-signatory Defendant’s Motion to Compel Arbitration of TCPA Claim Based on “Sufficient Nexus”

Womble Bond Dickinson on

The United States District Court in Zean v. Comcast Broadband Security, LLC, et al., 2018 WL 3642614 (D. Minn. August 1, 2018), granted defendants Comcast Broadband Security, LLC’s (“Comcast”) and Southwest Credit Systems,...more

Ballard Spahr LLP

Online Arbitration Agreement Must Be “Reasonably Communicated and Accepted”

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Ruling in a class action brought against Uber Technologies, Inc., the U.S. Court of Appeals for the First Circuit recently held that the company's arbitration clause could not be enforced because it was not "reasonably...more

Carlton Fields

Fifth Circuit Allows Non-Signatories To Enforce Arbitration Agreement

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The Fifth Circuit has affirmed an order compelling arbitration, despite the fact that the parties seeking to compel arbitration were not signatories to the relevant arbitration agreement....more

Carlton Fields

Minor Not Bound—Directly Or Indirectly—By Arbitration Agreement In Mother’s Credit Card Agreement

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Last month the Seventh Circuit reversed a lower court order enforcing an arbitration agreement contained in cardholder agreement as applied against the minor daughter (“A.D.”) of the cardholder, rejecting the bank’s attempt...more

Carlton Fields

Eleventh Circuit Slaps Down Bank’s Third Attempt To Compel Arbitration In Overdraft Litigation Fight

Carlton Fields on

The Eleventh Circuit recently upheld a district court’s denial of RBC Bank’s latest attempt to compel arbitration of a dispute with banking customers over allegedly fraudulent overdraft practices. ...more

Ballard Spahr LLP

Seventh Circuit Denies Arbitration of Accountholder Daughter’s TCPA Class Action Claims

Ballard Spahr LLP on

In A.D. vs. Credit One Bank, N.A., the U.S. Court of Appeals for the Seventh Circuit reversed a district court order compelling individual arbitration of a putative class action for Credit One's alleged violations of the...more

Carlton Fields

Seventh Circuit Reverses Order Compelling Arbitration Of Dispute Between Two Non-Signatories To Arbitration Agreement

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The U.S. Court of Appeals for the Seventh Circuit recently held that state law governs whether a contract’s arbitration clause is binding on non-signatories. The dispute arises from a consumer protection action filed by the...more

Carlton Fields

Third Circuit Refuses To Compel Arbitration In Light Of Alleged Fraudulent Inducement To Sign Arbitration Agreement

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The Third Circuit recently affirmed a lower court’s decision refusing car dealership defendants’ motion to compel arbitration pursuant to an arbitration agreement the plaintiffs were allegedly induced to sign. First, the...more

Carlton Fields

Court Compels Discovery, Awards Sanctions In Dispute Over Whether Reinsurance Arbitration Clause Applies

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In 2011, Top’s Personnel entered into a reinsurance agreement with Applied Underwriters Captive Risk Assurance Company (“AUCRA”), and several years later executed a promissory note (“the Note”) in favor of a related entity,...more

Proskauer - New Media & Technology

Website Design Implicated in Two Rulings on Enforceability of Online Terms – Highlights the Importance of Legal Review of Design...

This past summer, we wrote about two instances in which courts refused to enforce website terms presented in browsewrap agreements. As we noted, clickthrough agreements are generally more likely to be found to be enforced. ...more

Proskauer - New Media & Technology

Browsewrap Agreement Held Unenforceable – Website Designers Take Note!

In Nghiem v Dick’s Sporting Goods, Inc., No. 16-00097 (C.D. Cal. July 5, 2016), the Central District of California held browsewrap terms to be unenforceable because the hyperlink to the terms was “sandwiched” between two...more

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