News & Analysis as of

Contract Terms Consumer Contracts Arbitration Agreements

Troutman Pepper

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

BCLP

Smart Contracts and the Use of Arbitration to Resolve Related Disputes

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In recent years, technology advancement has introduced new methods for contract formation. In particular, the rise of blockchain technology has led to the emergence of “smart contracts”, which are digital contracts which...more

Troutman Pepper

EDVA Judge Invalidates Arbitration Clause in Online Terms and Conditions

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In a recent decision, EDVA Judge Rossie Alston invalidated the arbitration clause in the terms and conditions for online sales through the Lowe’s Home Centers website on the grounds that the terms and conditions were illusory...more

Eversheds Sutherland (US) LLP

Potential pitfalls of the arbitration clause: Mass arbitrations on the rise

Eversheds Sutherland presents periodic updates to inform companies entering or already established in the US market about newly enacted rules or trends that may be traps for the unwary. The purpose of these updates is to...more

Carlton Fields

Arizona Permits Unilateral Modifications of Standard Consumer Contracts Upon Reasonable Notice and Opt-Out Opportunity

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In October 2018, Eva Cornell opened checking and savings accounts with Desert Financial Credit Union. In so doing, Cornell agreed to terms and conditions, including an agreement that Desert Financial could “change those terms...more

Manatt, Phelps & Phillips, LLP

[Webinar] Automatic Renewal Laws: Everything to Know About the Surge in Litigation and Regulatory Enforcement - April 18th, 11:00...

Automatic Renewal Laws (ARLs)—statutes governing continuity programs and automatically renewing contracts—have proliferated throughout the United States since 2010. Companies that offer automatic renewal programs face an...more

Morrison & Foerster LLP - Class Dismissed

Does A Consumer Arbitration Agreement Apply To A Company’s Future Affiliates? The Ninth And Fourth Circuits Disagree

If a company enters an arbitration agreement with a consumer, can its future affiliate companies enforce the arbitration agreement even though the affiliate relationship did not exist at the time the consumer signed the...more

Carlton Fields

Let Me Introduce My Affiliate: Fourth Circuit Enforces Arbitration Agreement on Motion by Affiliate, DirecTV, of Original Party to...

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On August 7, 2020, the Fourth Circuit Court of Appeals confronted the question whether this class action lawsuit against, inter alia, DirecTV was covered by an arbitration agreement in the contract governing plaintiff Diana...more

Carlton Fields

Eleventh Circuit Partially Reverses District Court Decision Denying Motion to Compel Arbitration Upon Application of Mailbox Rule

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In Mason v. Midland Funding, plaintiffs Mason and Burnett brought an action against a debt collector and its subsidiaries claiming that they violated the Fair Debt Collection Practices Act by allegedly filing lawsuits to...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

Ballard Spahr LLP

Possible Supreme Court Review of California’s “McGill Rule” Moves One Step Closer as Ninth Circuit Stays Mandates in Blair Appeals

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After denying the defendants’ petitions for panel and en banc rehearing in the Blair v. Rent-a-Center appeals, the Ninth Circuit has granted their motions to stay the issuance of the Court’s mandates for 90 days pending the...more

Carlton Fields

Court Directs Arbitration Where Plaintiff Acknowledges the Parties Agreed to Do So

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The plaintiff entered into a retail installment contract with New Century Auto Sales for the purchase of a used car. The contract included an arbitration provision that stated that either the plaintiff or the defendants may...more

Carlton Fields

Court of Appeals Finds District Court Did Not Err in Lifting Stay Ordered to Refer Case to Arbitration

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Lawren Freeman entered into a contract with SmartPay Leasing LLC to lease a smartphone. The contract included an arbitration clause. Freeman filed suit in the federal district court against SmartPay. ...more

Carlton Fields

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

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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

Womble Bond Dickinson

You Can’t Be Serious: TCPA Data Transfer to Defense Expert Lands DirectTV in Unshakable Privacy Class Action

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Data privacy and protection concerns permeate TCPA class actions as consumer lawyers have become increasingly bold about demanding huge sets of private financial records and data from defendants. These demands risk the...more

Foley & Lardner LLP

Eleventh Circuit Creates Circuit Split as to Who Decides Whether an Arbitration Agreement Permits Class Arbitration

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As the U.S. Supreme Court observed memorably in First Options of Chicago, Inc. v. Kaplan, arbitration disputes often raise “three types of disagreement” relevant to resolution of the dispute: (1) a disagreement as to the...more

Womble Bond Dickinson

Illinois District Court Finds that Uber’s Arbitration Agreement is Enforceable in a Putative Class Action and Dismisses Class...

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In Johnson v. Uber Technologies, Inc., 2018 WL 4503938 (Sept. 20, 2018), the United States District Court in the Northern District of Illinois granted summary judgment in favor of Uber Technologies, Inc. (“Uber”), dismissing...more

Carlton Fields

Tenth And Eleventh Circuits Buck Other Circuits Requiring Higher Showing Of Intent To Delegate Class Arbitrability to Arbitrator

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Within one week of each other, United States Courts of Appeals in two circuits have issued opinions holding that arbitration agreements incorporating the American Arbitration Association (AAA)’s arbitration rules itself...more

Womble Bond Dickinson

You Have the Right to Defend Your Business Model: Court Allows Online Lead Generator to Intervene in Putative TCPA Class Action

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Online lead generation is huge business, and present across all manner of consumer industries including lending, home services, insurance, healthcare – you name it. By the time these leads reach the caller, a consumer will...more

Womble Bond Dickinson

Pride Goeth Before the Fall: DirecTV Effort to Leverage Wireless Market Leads Following AT&T Merger Leads to Unshakable TCPA Class...

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Business lines are always looking to expand their pool of leads through cross-marketing efforts, especially following a corporate merger. But as a new decision out of the Northern District of California proves, it is...more

Womble Bond Dickinson

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

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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

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

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

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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

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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

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

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