ARBITRATION TIME: Credit One Compels TCPA Plaintiff into Arbitration

A very important tool in thwarting TCPA class action is the arbitration clause.

While attorneys are very familiar with these clauses– and their importance–I find many business leads do not really understand why they matter. This sometimes results in lead buying practices that do not put the appropriate level of emphasis on arbitration clauses (i.e. they are entirely overlooked.)

But arbitration can be a complete killshot for a TCPA class action– most clauses contain class action waivers meaning that a consumer can only pursue arbitration on an individual (and not a class) basis. This has obvious benefits.

And most courts will generously enforce arbitration provisions, even if they are not entered into in the most consumer-friendly of ways.

Consider Ashford v. Credit one  2025 WL 3254934 (M.D. Al. Nov. 17 2025). There the court enforced an arbitration agreement against a cardholder even where the cardholder had likely never actually seen it.

In Ashford, Credit One claimed plaintiff applied for a credit card and produced a disclosure it claims to have provided him when the application was submitted. The disclosure warned that  their “Card Agreement includes an arbitration provision,” and that “[c]omplete details will be in the Card Agreement sent with [the] card.”

The agreement, however, was not provided at that time. Instead it was allegedly mailed to Plaintiff along with this card. Per the terms of the agreement Plaintiff accepted the arbitration clause when he used the card.

Plaintiff claimed, however, that no arbitration agreement exists because Credit One “has not produced a signed contract or electronic acceptance of arbitration,” or “any proof of delivery or authenticated communication of arbitration terms.” Ashford also argued that the arbitration agreement is unconscionable and unenforceable because it was “hidden or mailed after account issuance,” and “presented on a take-it-or-leave-it basis.”

The Court fond Credit One’s evidence that it sent the agreement to plaintiff sufficient to compel arbitration and found it had no responsibility to make sure Plaintiff actually received, read, or understood the clause. So… yeah, pretty generous.

Motion to compel arbitration was granted and the case was closed.

Neat and tidy little win for Credit One. A little something to be grateful for this Thanksgiving week!

Chat soon.