LG Wins Bid To Arbitrate Defective-Phone Fight

Law360, Los Angeles (June 29, 2017, 8:23 PM EDT) -- LG Electronics USA Inc. on Thursday won a bid to arbitrate claims in a putative class action alleging a defect caused certain phones to get stuck in a loop of crashing and rebooting, after a California federal judge found the consumers had adequate notice of the company's "in the box" arbitration agreement.

The phones at issue contained a limited warranty agreement inside the case that included a provision requiring disputes between consumers and LG to be resolved by binding arbitration, unless the consumer opts out within 30 days.

U.S. District Judge Michael Fitzgerald said five of eight named plaintiffs conceded their...

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