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Dicarlo v. Moneylion, Inc.

United States District Court for the Central District of California

December 20, 2019, Decided; December 20, 2019, Filed

EDCV 19-1374 PSG (SHKx)

Opinion

CIVIL MINUTES - GENERAL

Proceedings (In Chambers): Order GRANTING Defendants' motion to compel arbitration

Before the Court is Defendants MoneyLion, Inc., MoneyLion of California LLC, ML Plus LLC, and ML Wealth, LLC's ("Defendants") motion to compel arbitration. See Dkt. # 18 ("Mot."). Plaintiff Marggieh Dicarlo ("Plaintiff") opposes the motion, see Dkt. # 22 ("Opp."), and Defendants replied, see Dkt. # 31 ("Reply").1 The Court finds the matter appropriate for decision without oral argument. See Fed. R. Civ. P. 78; L.R. 7-15. Having considered the moving papers, the Court GRANTS Defendants' motion.

I. Background

Defendants operate a consumer-focused financial services application called MoneyLion. First Amended Complaint, Dkt # 17 ("FAC"), ¶ 1. They offer a free version and a paid-for premium version of the app. Id. ¶ 60. Plaintiff signed up for the premium version and in July 2018 borrowed a $500 "Credit Builder Loan." Id. ¶ 32.

As both a condition of becoming a premium member and obtaining the loan, Plaintiff entered into an arbitration agreement. [*2]  Id. ¶ 121. The Disputes Agreement ("Agreement") includes an arbitration provision that states it "shall be governed by the FAA." Arbitration Agreement, Dkt. # 17-4 ("Agreement"), § 9. It covers claims "that seek relief of any type, including damages and/or injunctive, declaratory or other equitable relief." Id. at 2. Pertinent here, the Agreement bars individuals from engaging in "class actions or similar proceedings":

IF YOU OR WE ELECT TO ARBITRATE A CLAIM, NEITHER YOU NOR WE WILL HAVE THE RIGHT TO: (A) HAVE A COURT OR A JURY DECIDE THE CLAIM; (B) OBTAIN INFORMATION PRIOR TO THE HEARING TO THE SAME EXTENT THAT YOU OR WE COULD IN COURT; (C) PARTICIPATE IN A CLASS ACTION IN COURT OR IN ARBITRATION, EITHER AS A CLASS REPRESENTATIVE, CLASS MEMBER OR CLASS OPPONENT; (D) ACT AS A PRIVATE ATTORNEY GENERAL IN COURT OR IN ARBITRATION; OR (E) JOIN OR CONSOLIDATE CLAIM(S) INVOLVING YOU WITH CLAIMS INVOLVING ANY OTHER PERSON. THE RIGHT TO APPEAL IS MORE LIMITED IN ARBITRATION THAN IN COURT. OTHER RIGHTS THAT YOU WOULD HAVE IF YOU WENT TO COURT MAY ALSO NOT BE AVAILABLE IN ARBITRATION.

Id. § 5.

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2019 U.S. Dist. LEXIS 228268 *

Marggieh Dicarlo v. Moneylion, Inc., et al.

CORE TERMS

arbitration, injunctive relief, arbitration agreement, cause of action, compel arbitration, remedies, courts, attorney general, injunction