4th Circuit: Carson v. Lending Tree- Unconscionability of Arbitration Clause

Summary: Ms.  Carson appealed the district court’s order compelling arbitration.  The Court of Appeals held that the first step in determining if a dispute is subject to arbitration is determining whether the parties agreed to arbitration.   Finding that Ms.  Carson "affirmatively checked the box indicating that she agreed" to arbitration, the court then turned to whether such arbitration requirement was unenforceable due to unconscionability.  As Ms.  Carson had willing applied for services from Lending Tree, had indicated that she had read,  understood and accepted the arbitration provisions and the costs of arbitration were neither on-sided not prohibitively expensive, the Court of Appeals found the arbitration provision was not unconscionable. Carson v. Lending Tree- Unconscionability of Arbitration Clause.PDF