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ARTICLE · 23 JANUARY 2018

Ninth Circuit Affirms Order Rejecting First Amendment Challenge To Motion To Compel Arbitration

The Ninth Circuit granted permission to appeal.

United StatesLitigation, Mediation & Arbitration

Consumers filed a putative class action alleging statutory and common law consumer protection and false advertising claims under California and Alabama law, specifically alleging that AT&T falsely advertised their mobile service plans as "unlimited" when in fact it intentionally slowed data at certain usage levels. AT&T moved to compel arbitration pursuant the arbitration agreements included in their wireless data service plans and in light of the Supreme Court's 2011 ruling in AT&T Mobility LLC v. Concepcion, which held that the Federal Arbitration Act preempts state law deeming AT&T's arbitration provision to be unconscionable.

Plaintiffs opposed the motion on First Amendment grounds, arguing that an order forcing arbitration would violate the Petition Clause because they "did not knowingly and voluntarily give up their right to have a court adjudicate their claims" and could not "bring their claims in small claims court." The district court granted AT&T's motion

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