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ARTICLE · 20 NOVEMBER 2018

Eleventh Circuit Holds Consumers Are Bound By Arbitration Provision Appearing On Product Wrapper

The Eleventh Circuit recently held that consumers were properly compelled to arbitration

United StatesLitigation, Mediation & Arbitration

The Eleventh Circuit recently held that consumers were properly compelled to arbitration, and a putative class action was properly dismissed based on an arbitration provision and class action waiver conspicuously appearing on the product's packaging.

In Dye v. Tamko Building Products, Inc., homeowners filed a class action complaint against Tamko, alleging that the company's shingles failed to comply with industry standard and were not as-warranted.  In response, Tamko moved to compel arbitration and dismiss the class action complaint based on an arbitration provision and class action waiver that appeared on the exterior wrapping of every package of shingles.  The United States District Court for the Middle District of Florida granted the motion, and the homeowners appealed.

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