SCOTT V. CINGULAR WIRELESS
160 Wash.2d 843 (2007)
NATURE OF THE CASE: Scott (Ps), customers of a wireless telephone service, sought damages
from the service provider on a claim that they were overcharged up to around $45 per month
for unlawfully imposed long distance and/or out-of-network roaming charges. The trial court
entered an order compelling arbitration.
FACTS: Ps purchased cellular telephones and calling plans from Cingular (D). The
contracts were all form contracts with an arbitration agreement. The arbitration clause
prohibited consolidation of cases, class actions, and class arbitration. D retained the
right to unilaterally revise the agreement and, in July 2003, did so. It did so and the
revised arbitration clause still prohibited class action and specified that arbitration
would be conducted according to AAA rules. D would pay the filing, administrator, and
arbitration fees unless the customer's claim was found to be frivolous; and D would
reimburse the customer for reasonable attorney fees and expenses incurred for the
arbitration (provided that the customer recovered at least the demand amount); and that the
arbitration would take place in the county of the customer's billing address. It also
removed limitations on punitive damages. Ps' suit asserts that they were improperly billed
for 'roaming' calls. Ps filed a class action suit. D moved to compel individual arbitration.
Ps argued that the class action waiver is substantively and procedurally unconscionable and
unenforceable. Ps assert that the agreement is overly one-sided because it is inconceivable
that D would bring a class action suit against its customers. Experts explained that the
claims against D 'are too small and too complex factually and legally' to be adjudicated
separately. The trial court granted D's motion. It held that D's contract is a contract of
adhesion, but it is not sufficiently complex, illegible, or misleading to be deemed
procedurally unconscionable. The court also found no substantive unconscionability. This
appeal resulted.
ISSUE:
RULE OF LAW:
HOLDING AND DECISION:
LEGAL ANALYSIS:
Get
free access to the entire content for Mac, PC or Online
for 2-3 days and free samples
of all kinds of products.
for 2-3 days and free samples of all kinds of products.
https://bsmsphd.com
© 2007-2016 Abn Study Partner
No comments:
Post a Comment