Civil Litigation,
9th U.S. Circuit Court of Appeals
Jul. 1, 2019
Class of Rent-A-Center customers don’t have to arbitrate, circuit says
The 9th U.S. Circuit Court of Appeals on Friday affirmed a lower court’s decision to deny forced arbitration on a class action between electronics and furniture rent-to-own retailer Rent-A-Center and its customers, claiming the practice violates the customers’ right to public injunctive relief under California law.
The 9th U.S. Circuit Court of Appeals on Friday affirmed a lower court's decision to deny forced arbitration between Rent-A-Center and a class of its customers.
The Federal Arbitration Act does not preempt a 2017 California Supreme Court decision that invalidated arbitration agreements that attempt to squash consumer's statutory right to seek injunctive relief on behalf of other consumers, the 9th Circuit ruled.
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