The U.S. Court of Appeals for the Third Circuit upheld a New Jersey district court’s ruling allowing a putative class action to proceed against Samsung and stated that, after applying the U.S. Supreme Court’s decision in Morgan v. Sundance, the company waived its right to arbitrate.

According to the opinion, the U.S. District Court for the District of New Jersey determined that Samsung waived its right to arbitrate the claims brought by owners of Samsung SmartTVs. The customers alleged that Samsung illegally monitored their usage of internet-enabled services on the televisions in question. As part of the setup process for a new SmartTV, the plaintiffs had to agree to terms and conditions that included an arbitration provision.

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