Shapiro Arato Bach Wins Affirmance In First Circuit Appeal For Healthcare Company Everlywell
On September 25, 2024, the U.S. Court of Appeals for the First Circuit issued a unanimous precedential opinion in favor of Shapiro Arato Bach’s client Everlywell, a provider of at-home laboratory tests.
The appeal arose from a putative consumer class action in the District of Massachusetts, in which Everlywell had obtained an order compelling arbitration of the lead plaintiff’s claims. The lead plaintiff argued that the parties had never formed an arbitration agreement and that the agreement was unenforceable on various grounds, primarily alleging that Everlywell had presented her with its online terms and conditions after she had bought her test kit from a third-party retailer. Shapiro Arato Bach and its co-counsel responded, inter alia, that the lead plaintiff had unequivocally manifested her assent to the “clickwrap” terms by checking a box when she registered her test kit with Everlywell; that she could have sought a refund had she desired to reject the terms; and that she had delegated to the arbitrator all challenges to the contract’s validity. In a thorough opinion, the First Circuit ruled in Everlywell’s favor, affirming the district court’s order compelling arbitration.
The First Circuit’s opinion is available here. Everlywell’s brief, which Shapiro Arato Bach partner Fabien Thayamballi authored together with co-counsel from another firm, is available here.