Brandon McCutcheon v. Design 1 Group, LLC, et al.

Summary

The United States District Court for the Southern District of West Virginia granted Solar Mosaic LLC and Connexus Credit Union's motion to compel arbitration of Brandon McCutcheon's West Virginia Consumer Credit and Protection Act claim. The court held that the arbitration provision in the parties' loan agreement covered claims relating to the solar panel system purchased from third-party installer Design 1 Group, LLC. The court referred the claims against Mosaic and Connexus to arbitration, stayed the action, and removed it from the active docket.

Holdings

1. The claim fell within the arbitration provision because it arose out of or related to a product provided by a third party in connection with McCutcheon's loan.
2. The arbitration clause was not limited to products or services supplied by loan-service or debt-collection companies; it covered any product or service provided by a third party in connection with the loan.
3. McCutcheon was bound by the arbitration clause because he entered into the loan agreement containing it, and his alleged lack of notice or failure to anticipate the clause's application did not defeat assent.

Questions Presented

1. Whether McCutcheon's claim against Solar Mosaic and Connexus fell within the scope of the arbitration provision in the loan agreement.
2. Whether the court should compel arbitration of that claim and stay the action pending arbitration.
3. Whether the overlapping claims against Design 1 warranted staying the entire action for purposes of judicial economy.

Disposition

other