Experian convinces Third Circuit to adopt sensible discovery rule

Client(s) Experian Information Solutions, Inc.

In a win for Experian, the Third Circuit adopted Jones Day's proposed discovery standard for motions to compel arbitration. The district court had denied Experian's motion to compel arbitration, believing it could not consider the motion without first allowing the plaintiff to take discovery. But the Third Circuit rejected this categorical approach, in a published unanimous opinion. Agreeing with Jones Day, it held that pre-arbitration discovery can be mandated only when the parties dispute some material fact. This precedential decision clarifies the law and ensures that parties seeking arbitration will not be bogged down with useless discovery.

Young v. Experian Information Solutions, Inc., No. 23-2953 (3d Cir.)