Federal 7th Circuit Court
Civil Court
Arbitration Agreement
Petitioners purchased products from the respondent’s website and alleged that respondent engaged in false and deceptive marketing practices. Petitioners pursued relief pursuant to the website’s terms and conditions, which contained an arbitration clause. Respondent refused to file an arbitration agreement and petitioners filed a petition to compel arbitration in federal court. The district court denied the petition and petitioners appealed. The Seventh Circuit affirmed, finding that the decision of the American Arbitration Association to terminate the arbitration proceedings followed the process the parties agreed to in their arbitration agreement. (SCUDDER, concurring and KOLAR, dissenting)