Arbitration: But Don’t Click On The Orange Button!

Class action plaintiffs claimed they were scammed on the internet after giving their credit card information. Allegedly unbeknownst to plaintiff, instead of making a one-time purchase, he somehow agreed to pay $19.95 a month. The internet company moved to compel the matter into arbitration, contending that the named plaintiff “agreed to arbitration by clicking the orange button.” Both the district court and the Ninth Circuit held that under Washington law, the plaintiff did not enter into a contract to arbitrate. (Lee v. Intelius, Inc.  (Ninth Cir.; December 16, 2013) 737 F.3d 1254.