Printed from http://www.electronista.com

Appeals court overturns Verizon users' right to file lawsuit

updated 03:20 pm EDT, Thu August 25, 2011

Customers forced to use arbitration for disputes

The Third US Circuit Court of Appeals in Philadelphia ruled late Wednesday that Verizon Wireless customers must use arbitration to resolve disputes over alleged fraudulently made telephone calls rather than resort to class action. In ruling this way, the court reversed itself on a decision it had made last year in favor of the customers. The court cited a recent Supreme Court decision as the basis for its shift in attitude.

The original ruling made by the Philadelphia court upheld a New Jersey Supreme Court decision that Verizon could not enforce a clause that most consumers agree to in their contracts. That clause required customers submit to arbitration to resolve disputes regarding administrative charges.

In April, the US Supreme Court ruled in favor of AT&T in a similar matter. In that case, by a 5-4 vote, the court overturned a decision in another class-action suit that AT&T couldn't enforce a contract provision requiring arbitration in its disputes.

Based on that ruling, the Philadelphia court revisited its decision in the class action suit brought against Verizon and subsequently ruled in favor of the wireless provider.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Tylt Energi 2K Travel Charger

Backup batteries and device chargers are objects that many users take for granted. They often only one-dimensional in functionality, r ...

ActvContent Sync Smartband

Smartbands of all sorts are hitting the market. Some build on the buzz around fitness trackers, while others offer simpler features fo ...

RocketStor 6324L Thunderbolt 2 eSATA bridge

Like it or not, the shift to Thunderbolt is underway. The connection is extremely flexible, allowing for video and data to co-habitate ...

Sponsor

toggle

Most Commented

 
toggle

Popular News