An arbitrator will handle claims that Sprint tacks on a "premium data add-on" fee after selling customers a supposedly "unlimited data" plan, a federal judge ruled.
Consumers began suing Sprint Solutions and Sprint Spectrum shortly after the
The customers claimed that they bought supposedly "unlimited data" plans but incurred a
Several federal complaints against Sprint were ultimately consolidated in
Sprint then moved to compel bilateral arbitration and dismiss or stay all actions under the Federal Arbitration Act (FAA) and Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6).
Judge Wigenton granted the motion Wednesday, tossing aside the claim by
"Plaintiffs' argument is misleading because it presumes that court action will be required to choose an arbitrator if they proceeded with individual arbitration against Sprint," the unpublished opinion states. "The pertinent portion of the arbitration agreement states: 'Unless we each agree otherwise, the arbitration will be conducted by a single neutral arbitrator and will take place in the county of the last billing address of the device. We will agree on the arbitrator, and if we cannot agree, then the arbitrator will be appointed by the court as provided by the
The plaintiffs also failed to show that the arbitral costs will exceed the best possible recovery, based on seven arbitrations between AT&T and its subscribers.
Sprint Corp. reported
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