ANOTHER ONE: US Health Advisors Buys Lead But Can’t Enforce Arbitration And We’ve Seen This Movie Before

This one should be obvious by now– I mean I even took the slide on this subject out of my deck for Contact.io because I have covered it too many times.

But it looks like folks need a reminder:

Just because you are on the “marketing partner” list when you buy a lead does NOT mean you can enforce the arbitration provision on the leadform.

You MUST make sure you are a party entitled to enforce the arbitration provision in order to enforce it.

TCPAWorld.com followers, of course, already learned that lesson. Remember?

TRAPPED: Appellate Court Holds Realtor.Com Cannot Compel Arbitration in TCPA Class Action On Lead Gen Form Sold to Subsidiary

Well U.S. Health Advisors and/or its lawyers apparently aren’t reading TCPAWorld.com–which I find odd– or paying attention–which might be more the case.

In Sessoms . US Health Advisors 2025 WL 2432191 (E.D.N.C. Aug. 22, 2025) the Court denied arbitration and forced USHA to face a TCPA class action because it wasn’t a party to the arbitration agreement on a lead form it had purchased from NextGen Leads, LLC.

In the case the Plaintiff claims she never filled out the lead form (seen that movie before). NextGen sold the (fake?) lead to USHA who was on the marketing page but not on the arbitration provision (seen that movie before too.)

Despite the fact that USHA was not on the arbitration clause USHA did the unthinkable–yet, oddly predicable–and moved to compel arbitration anyway.

Now, this was NEVER going to work. The law is crystal clear that a non-party to the arbitration provision cannot enforce except under very narrow circumstances. So this was basically a waste of money– free attorneys fees, I guess.

And predictably the court denied the motion.

One potential upside is the Defendant can now appeal the arbitration motion denial and keep the case on ice for a bit–so maybe that was the play?

Anyway lessons here:

  1. Do not buy a lead unless you are on the marketing partner list AND on the arbitration provision;
  2. Do not sell a lead unless the buyer is on the marketing partner list AND on the arbitration provision;
  3. Do not move to enforce arbitration agreements you can’t enforce, unless you just want to spend money and maybe set up a meritless appeal just to keep a case on ice– and maybe you do.

Also it is CONTACT.IO WEEK!!!!

If you are at the show be sure to swing by the WORLD-FAMOUS TROUTMAN AMIN LLP STAGE and our awesome booth. OH AAND OUR VAN WILL BE THERE!

I will be around but also very busy so don’t be surprised if you don’t see the Czar in person this time but the team will be there! Including Queenie and the Dame!

Chat soon.

 


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1 Comment

  1. Wow, so in your opinion, the attorneys at Greenspoon Marder churn files and file frivolous motions to bloodlet their clients and generate attorney’s fees in consumer cases? Not Jeffrey Backman and Roy Taub! Say it ain’t so!

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