Tamayo

Tamayo v. Brainstorm USA

Good Law
154 F. App'x 564
United States Court of Appeals for the Ninth CircuitSeptember 21, 2005No. 02-15724California386 words

Opinion

Lead Opinion

*566 MEMORANDUM **

Provident Bank appeals from the district court’s decision denying its motion to compel arbitration, and we affirm the judgment of the district court. The decision can be affirmed on any ground supported by the record. Recording Indus. Ass’n of Am. v. Diamond Multimedia Sys. Inc., 180 F.3d 1072 , 1077 n. 3 (9th Cir.1999).

In our memorandum disposition dated March 10, 2004, we vacated submission of Provident Bank’s appeal pending the decision of the California Supreme Court in Discover Bank v. Superior Court, 36 Cal.4th 148 , 30 Cal.Rptr.3d 76 , 113 P.3d 1100 (2005). That decision has clarified California law with respect to the unconscionability of class-action waivers like the one at issue in this case, and requires the result here.

In Discover Bank , the court ruled that class-action waivers in consumer contracts of adhesion that function to exempt a party from responsibility for wrongdoing are unconscionable. 36 Cal.4th at 162-63 , 30 Cal.Rptr.3d 76 , 113 P.3d 1100 . Further, this court has held on several occasions that class-action waivers in arbitration clauses contained in contracts of adhesion are unconscionable. See Ingle v. Circuit City Stores, Inc.,…

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