Shannon McBurnie v. Rac Acceptance East, LLC

FOR PUBLICATION

UNITED STATES COURT OF APPEALS

FOR THE NINTH CIRCUIT

SHANNON MCBURNIE; APRIL No. 22-16868

SPRUELL,

D.C. No. Plaintiffs-Appellees, 3:21-cv-01429-JD

v.

OPINION

RAC ACCEPTANCE EAST, LLC,

Defendant-Appellant.

Appeal from the United States District Court for the Northern District of California James Donato, District Judge, Presiding

Argued and Submitted October 4, 2023 San Francisco, California

Filed March 14, 2024

Before: William A. Fletcher, Richard C. Tallman, and Kenneth K. Lee, Circuit Judges.

Opinion by Judge W. Fletcher MCBURNIE V. RAC ACCEPTANCE EAST, LLC

SUMMARY *

Public Injunctive Relief

The panel affirmed the district court’s denial of RAC Acceptance East, LLC’s motion to compel arbitration, and remanded for the district court to address named plaintiff April Spruell’s standing to challenge a $1.99 expedited payment fee. The appeal arises from a putative class action alleging that two fees imposed by RAC, the owner and operator of retail stores that lease household and electronic items through rent-to-own contracts, violated California consumer protection laws. California’s McGill rule invalidates contractual…