The Second Appellate District affirmed an order denying a petition to compel arbitration. The court held that an adhesive arbitration provision containing harsh one-sided terms favoring a car dealer was unconscionable and unenforceable.
Gil Sanchez purchased a certified pre-owned Mercedes from Mercedes-Benz of Valencia (Valencia) and financed the vehicle pursuant to a retail installment sales contract. Shortly after the purchase, he experienced problems with the vehicle, including electrical malfunctions, water leaks, engine failures, and warning and indicator light errors. He took the vehicle to authorized repair facilities, including Valencia, on several occasions, but they were unable to repair the vehicle.
