Credit: stock.adobe.com 3rd Circuit Finds Rule 1(d) Permits Plaintiff to Return to Court After AAA Declines to Arbitrate
"MicroBilt's arbitration provision, including the AAA rules that it incorporates, does not condition [the plaintiff's] return to court on the AAA's decision being correct, or even reasonable. That is the deal the parties struck," the court ruled.
December 07, 2023 at 04:13 PM
5 minute read
In a precedential opinion, the U.S. Court of Appeals for the Third Circuit sided with a plaintiff, Maria del Rosario Hernandez, finding that she fully complied with the arbitration terms and is now entitled to pursue her claims in court.
Hernandez alleged, in Hernandez v. MicroBilt, that she applied for a loan in 2020 and was denied based on inaccurate information. The lender used a MicroBilt product, an instant bank verification report, to verify her identity and bank account information. However, Hernandez alleged that the report included the information of individuals who share her name, one of whom was on a government watch list, according to the opinion.
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