Gateway Can't Arbitrate Monitor Class Action, Judge Rules

Law360, New York (August 9, 2012, 2:07 PM EDT) -- A California federal judge on Tuesday ruled that Gateway Inc. could not compel arbitration in a proposed class action alleging its high-end LCD monitors were defective, saying the company’s arbitration provisions were unenforceable.

In the order, U.S. District Judge Dolly M. Gee rejected the computer company’s argument that Mark D. Lima’s class action was subject to arbitration because his purchase was covered by a limited warranty and terms of sale agreement that contained the arbitration provision. The judge said the scope of the arbitration provision exceeded...
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