Arbitration – Consumer Protection – Litigation Activity – Motion to Compel – Six-Month Delay – No Waiver

Arbitration – Consumer Protection – Litigation Activity – Motion to Compel – Six-Month Delay – No Waiver (access required)

Rota-McLarty v. Santander Consumer USA Inc. A district court erred in applying Maryland law, instead of the Federal Arbitration Act, to deny a financing company’s motion to compel arbitration of a car buyer’s lawsuit; the 4th Circuit says the financing company did not waive arbitration by delaying about six months before filing its motion to compel and using “litigation machinery” to remove the case to federal court, file an answer and take the car buyer’s deposition.

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