04/20/2024

SCOTUS Stiffs CA Suit Against DirecTV

A high-profile lawsuit that could have increased consumer protections was shot down by the Supreme Court. “The justices by a 6-3 vote overturned a state ruling and threw out a class-action lawsuit against DirecTV over its termination fees for customers who canceled its service,” the Los Angeles Times reported. “The high court said the Federal Arbitration Act calls for honoring arbitration agreements that are written into company contracts, regardless of whether there are more consumer-friendly protections set by states such as California.”

The case against the El Segundo-based company had been working its way up the judicial ladder for years. “The dispute began in 2008 when a former DirecTV customer sued the satellite TV provider in Los Angeles Superior Court, alleging it had violated several California laws when it charged cancellation fees,” the Los Angeles Business Journal noted.

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