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US Supreme Court Rejects Samsung Appeal in Warranty Dispute

US Supreme Court Rejects Samsung Appeal in Warranty DisputeUS Supreme Court Rejects Samsung Appeal in Warranty Dispute

The US Supreme Court on Monday refused to consider a bid by Samsung Electronics Co Ltd to force customers who have filed proposed class-action lawsuits against the company to arbitrate their claims instead of bringing them to court.

The justices left intact a lower court’s ruling that purchasers of certain Galaxy smartphones made by the South Korean electronics company were not bound by a warranty provision that compelled arbitration of customer complaints, Reuters reported.

Warranties with arbitration clauses have become common in consumer electronics and other industries. Courts and regulatory agencies increasingly are scrutinizing arbitration agreements that seek to limit options for resolution of future disputes.

The Samsung case involves two smartphone buyers from California who separately filed proposed class-action lawsuits in 2014 over concerns about the products’ performance and resale value.

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