Supreme Court to Hear DirecTV Case Over Consumer Arbitration

The Supreme Court has agreed to hear a class action lawsuit brought by consumers challenging DirecTV’s early termination fees.

The central question is whether DirecTV can force the litigation into private arbitration, citing subscriber agreements. A California appellate court ruled last year that DirecTV’s subscriber agreements could not force the dispute into private arbitration, as the contract included a provision that class action rights could not be waived if they violated a state law.

But DirecTV contends that federal law allows them to move the dispute into arbitration, citing a ruling from the 9th Circuit Court of Appeals.

The lawsuit was brought as a class action by Amy Imburgia and Kathy Greiner.

Oral arguments are expected later this year.

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