Sixth Circuit Forces TCPA Plaintiff into Arbitration Based on Co-Habitant’s Prior Settlement Agreement

Folks – here’s an interesting companion decision to Petrina McDaniel's post on the enforceability of arbitration provisions involving two TCPA defendants who are in privity with one another.

In Reo v. Palmer Admin. Servs., 2019 U.S. App. LEXIS 16119 (6th Cir. May 30, 2019), the defendant allegedly placed telemarketing calls to the plaintiff’s landline. But the plaintiff’s son (and roommate) had previously settled his own TCPA claims against the defendant for similar calls. The son’s settlement agreement did not include his plaintiff father, but it did contain an arbitration provision with the defendant and, over the plaintiff’s objection, the district court compelled arbitration of the plaintiff’s TCPA claims based on the son’s prior arbitration agreement. The Sixth Circuit affirmed, holding that the plaintiff’s privity with his son required arbitration of plaintiff’s TCPA claims.

Of importance to TCPAWorld, this case demonstrates that privity, for arbitration purposes, goes both ways! And, though the opinion is unpublished, the panel’s decision drives home the importance of utilizing arbitration provisions at every juncture in TCPAWorld.

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