Corporate America has once again succeeded in keeping disgruntled consumers out of the courtroom.

This time the company is Sirius XM and the class action complaint was filed by a California consumer, Erick Knutson.  Knutson claims that the  company violated the Telephone Consumer Protection Act by pestering  him with robocalls to his cell phone after he signed up. The TCPA provides consumers with statutory damages of $1,500 per violation.

However, Sirius XM, following the trend, had an arbitration provision in its terms of service and asked the judge to dismiss the case and compel arbitration.

Knutson  argued that the provision was unfair and denied him his right to go to court to enforce the TCPA, but the court, once again following Concepcion, was not persuaded. “The arbitration provision specifically provides that 'any claim … whether related to this agreement or otherwise … shall be resolved, upon election by either party, exclusively and finally by binding arbitration,'” Judge Battaglia said, citing the language of the agreement. “Furthermore, the agreement requires individual arbitration of claims.”

Bottom line?  SiriusXm customers who are tired of harassing robocalls cannot enforce their rights in court.  Individual arbitration is costly and time consuming and, in the absence of large numbers, not likely to cause the company to change its practices.

Consumers Count has made this case a Cause.  If  this has happened to you or you are outraged,  join the Cause! You bring the crowd, we’ll make the case.  Consumers Count.