Industry leader vindicated in class action and class arbitration

Client(s) Industry leader

Jones Day successfully represented an industry leader in a nationwide class action and related class arbitration involving five plaintiffs who filed a class action in federal court asserting various claims, including breach of contract, unfair business practices, and violations of various state consumer protection statutes. Our client denied any wrongdoing and successfully moved to compel some of the plaintiffs to arbitration based on an arbitration agreement. The plaintiffs who had been ordered to arbitrate then tried to pursue a nationwide class arbitration with the American Arbitration Association. Our client opposed the class arbitration based on the parties’ arbitration agreement and the Supreme Court's ruling in Stolt-Nielsen S.A. v. Animal Feeds Int'l Corp., 130 S.Ct. 1758, 1775 (2010). The Arbitrator agreed. The claimants then filed a motion to vacate the Arbitrator's decision in state court but the judge denied the motion and confirmed the Arbitrator's decision. Meanwhile, in the class action, our client asserted counterclaims against the plaintiffs and a competitor, alleging that the plaintiffs and the competitor unlawfully conspired to orchestrate the class action and to harm our client's business. Jones Day pursued and obtained targeted discovery from the plaintiffs, claimants and various third parties. A short time later, the claimants in the arbitration and the plaintiffs in the class action agreed to dismiss all of their claims with prejudice. Our client paid no money to the plaintiffs, claimants or their lawyers.