Supreme Court of California

Discover Bank v. Super. Ct. of L.A., S113725

Under California law, class action waivers in consumer contracts of adhesion, where the party with superior bargaining power has carried out a scheme to deliberately cheat large numbers of consumers out of small sums of money, are unenforceable.

Appellate Information

• Decided 06/27/2005
• Published 06/27/2005

Judges

• MORENO, J.

Court

• Supreme Court of California

Counsel

• For Appellant:
  
• Kirkland & Ellis, Jeffrey S. Davidson, Rick Richmond, C. Robert Boldt, Amy M. Wilkins, Timothy B. Jafek, Los Angeles;  Stroock & Stroock & Lavan and Julia B. Strickland, Los Angeles, for Petitioner., Morrison & Foerster and Maren E. Nelson for California Bankers Association as Amicus Curiae on behalf of Petitioner., M. Jane Brady, Attorney General (Delaware);  Severson & Werson and William L. Stern, San Francisco, for Robert A. Glen, Delaware State Bank Commissioner as Amicus Curiae on behalf of Petitioner., Rintala, Smoot, Jaenicke & Rees, G. Howden Fraser, Los Angeles;  Wilmer, Cutler & Pickering and Christopher R. Lipsett for American Bankers Association, American Financial Services Association and Consumer Bankers Association as Amici Curiae on behalf of Petitioner., Gibson, Dunn & Crutcher, Mark E. Weber, Gabriel J. Pasette, Los Angeles;  Stokes Lawrence, Kelly T. Noonan and Bradford Axel for AT & T Wireless Services, Inc., as Amicus Curiae on behalf of Petitioner., Littler Mendelson, Henry D. Lederman, Marissa M. Tirona and James Y. Wu for Ralphs Grocery Company as Amicus Curiae on behalf of Petitioner., Trial Lawyers for Public Justice, F. Paul Bland, Jr., Michael J. Quirk, Arthur H. Bryant, Leslie A. Bailey, Kate Gordon;  Strange & Carpenter, Brian R. Strange, Gretchen Carpenter, Los Angeles;  Law Offices of Barry Kramer and Barry L. Kramer for Real Party in Interest., Bramson, Plutzik, Mahler & Birkhaeuser and Robert M. Bramson, Walnut Creek, for National Association of Consumer Advocates as Amicus Curiae on behalf of Real Party in Interest., Deborah M. Zuckerman, Michael R. Schuster;  Kemnitzer, Anderson, Barron & Ogilvie and Mark F. Anderson, San Francisco, for AARP as Amicus Curiae on behalf of Real Party in Interest., The Sturdevant Law Firm, James C. Sturdevant, San Francisco;  Ian Herzog, Santa Monica;  Michael Adler;  Sharon J. Arkin, Newport Beach;  Stuart B. Esner, Los Angeles,;  Brian S. Kabateck, Los Angeles;  David A. Rosen, Los Angeles;  Daniel U. Smith, Kentfield;  Christine D. Spagnoli;  Lea-Ann Tratten;  Steven B. Stevens, Los Angeles, and Scott H.Z. Sumner, Walnut Creek, for Consumer Attorneys of California as Amicus Curiae on behalf of Real Party in Interest., Ghalchi & Associates, Kamran Ghalchi, Los Angeles;  Adhoot & Wolfson, Tina Wolfson, Los Angeles, and Robert Adhoot for Rebecca Shakib and Karen Bernard as Amici Curiae on behalf of Real Party in Interest.


• For Appellees:
  
• No appearance for Respondent.