In an opinion today in the Uber antitrust case, which was on remand from the Second Circuit (see our prior coverage here), Judge Rakoff sent the case to arbitration based on the “Terms of Service” within Uber’s phone application.  Before doing so, however, he complained of having to enforce terms that “everyone recognizes” are “totally coerced”:
Continue Reading Judge Rakoff Bemoans “Factual and Legal Fictions” Underlying Enforcement of Consumer Arbitration Clauses

As part of the ongoing Uber antitrust litigation, the Second Circuit yesterday reversed Judge Rakoff’s earlier ruling that the arbitration clause in Uber’s terms of service was not enforceable (see our previous coverage of Judge Rakoff’s decision here, and the interlocutory appeal here).

Continue Reading Second Circuit Reverses Judge Rakoff, Finds Uber Arbitration Clause is Enforceable

In an opinion today, Judge Rakoff denied a motion to compel arbitration of antitrust claims against Uber’s CEO because he found that the arbitration clause was too concealed for the plaintiff to have reasonably agreed to it.  (See our prior posts on the case here.)

When a user enters his or her credit card information, there is a button that says “Register,” and below that, in a “barely legible” font, it says:  “By creating an Uber account you agree to the Terms of Service and Privacy Policy.”  The phrase “Terms of Service” is a hyperlink to terms that include a mandatory arbitration clause.

Judge Rakoff acknowledged that there is extensive case law upholding arbitration agreements when users must click a button stating “I agree” to the terms of use (so called “clickwrap” agreements), but found that the facts here were towards the other end of the spectrum, where the clauses are not enforceable:
Continue Reading Judge Rakoff Rules That Uber’s Customer Arbitration Clause Is Not Conspicuous Enough to Be Enforceable

Yesterday — just hours after Judge Rakoff ordered broad discovery from Uber and its in-house counsel regarding potentially improper investigative techniques —  Uber’s CEO moved to compel arbitration in the antitrust class action brought by Uber riders (see previous coverage here).  The motion argues that the CEO, as an employee of Uber, is entitled to assert Uber’s arbitration clause in the terms and conditions that each rider agreed to.  The motion also argues that the arbitrator, and not Judge Rakoff, should decide the question of arbitrability in the first instance.

Continue Reading On Heels of Inquiry Into Potential Litigation Misconduct, Uber CEO Moves to Have Case Heard in Arbitration

In a decision today, the Second Circuit, by a 2-1 vote, reversed Judge Berman’s ruling in the DeflateGate case, effectively reinstating Tom Brady’s four-game suspension for his role in deflating footballs used during the 2015 AFC Championship Game.

Tom Brady and the NFL Player’s Association focused their appeal on the fact that, based on the NFL’s written policies, Brady had no prior notice that a first-time violation could result in anything more than a fine, but the Second found that the NFL’s reading of those policies was justifiable, and met the minimal standards for confirming an arbitration award:
Continue Reading Second Circuit Sides With NFL in DeflateGate Appeal

The NFL filed its reply brief in the DeflateGate appeal yesterday.  As we previously reported, Tom Brady’s opposition brief focused on the fact that the NFL’s written policies for players state that first-time equipment violations will result in fines, which, he argued, would give no notice that a suspension was possible.  The NFL’s reply brief counters that Tom Brady has already conceded the policy is inapplicable: 
Continue Reading NFL DeflateGate Reply: Policy of “Fines” for Equipment Violations Is Not Applicable to Footballs and Doesn’t Foreclose Suspensions

Patriots quarterback Tom Brady and the NFL Player’s Association filed their appeal brief yesterday with the Second Circuit, responding to the initial brief filed by the NFL.  The brief from Brady and the Player’s Association argues that there was a bargained-for policy for first-time equipment violations to result only in fines, and that Judge Berman correctly ruled that imposing a four-game suspension on Tom Brady violated that policy and failed to give Brady prior notice of the possibility of a suspension:
Continue Reading Tom Brady’s Deflategate Appeal Brief Focuses on Bargained-For Policy that First-Time Equipment Violations Would Result Only in Fines