ClassPass User Won’t Have to Arbitrate Renewal Process Claims

ClassPass Inc. failed to convince a federal appeals court Thursday that a consumer suing over its auto-renewal process was bound by a provision in the company’s terms of service to arbitrate her claims.

Ambiguous language on the pages that take a user through the sign-up process undermined their assent to the terms, the US Court of Appeals for the Ninth Circuit said in a split decision.

Plaintiff Katherine Chabolla sued ClassPass after it resumed charging consumers for their fitness class packages a year after it paused charges during the first few months of the pandemic in 2020. ClassPass argued that ...