Nicholas Services, LLC d/b/a Nicholas Air; and Nicholas John Correnti v. Cellco Partnership d/b/a Verizon Wireless

Summary

The United States District Court for the Northern District of Mississippi grants Verizon’s motion to compel arbitration and stay claims arising from an alleged unauthorized SIM-card swap and cryptocurrency theft. Applying New York law, the court concludes that the parties entered into a valid arbitration agreement and that the plaintiffs’ claims fall within the broad provision covering disputes arising out of the applicable Verizon Wireless agreement. Verizon’s motions to transfer venue and dismiss are terminated without prejudice pending arbitration.

Holdings

1. The plaintiffs were subject to a valid arbitration agreement with Verizon. Nicholas Air entered into the Agreement containing the arbitration provision, and Correnti, as Nicholas Air's owner and an authorized user of its iPhone and Verizon account, was also bound under the circumstances presented.
2. All of plaintiffs' claims fell within the scope of the Agreement's arbitration provision, which required arbitration of any dispute arising out of the Agreement.

Questions Presented

1. Whether Nicholas Air and Correnti were subject to a valid arbitration agreement with Verizon.
2. Whether plaintiffs' claims arising from Verizon's alleged failure to protect their SIM card, account, and customer information fell within the Agreement's broad arbitration provision covering any dispute arising out of the Agreement.
3. Whether the arbitration motion should be granted and the federal proceedings stayed.

Disposition

other