As reported by Law360, the U.S. Appeals Court for the Ninth Circuit ruled that TurboTax users agreed to arbitration when they signed in to use the software, reversing a district court ruling that had allowed several users to proceed on claims on behalf of a putative nationwide class.
The Ninth Circuit panel noted that TurboTax's terms of service were clearly visible when users signed in on its website, and that the terms included a clause requiring disputes to be resolved through arbitration. The panel instructed the district court to compel arbitration, rejecting its alternative rationale that the users could bring a class action under a provision in the agreement that allows a court to award certain forms of equitable relief.
The dispute at issue concerns far-reaching allegations that consumers were inappropriately steered away from the free version of Intuit’s TurboTax service.
Intuit was represented by Fenwick litigation partners Rodger Cole, Laurence Pulgram, Todd Gregorian and Tyler Newby, and associates Molly Melcher, Armen Nercessian, Irene Aguirre and Crystal Nwaneri.
The case is Andrew Dohrmann et al. v. Intuit Inc., case number 20-15466, in the U.S. Appeals Court for the Ninth Circuit.
The full article is available on Law360 (subscription required).