Aaliyah Houston v. Carmax Auto Superstores, Inc.

CourtNew Jersey Superior Court Appellate Division
DecidedJuly 13, 2026
DocketA-0350-25
StatusUnpublished

This text of Aaliyah Houston v. Carmax Auto Superstores, Inc. (Aaliyah Houston v. Carmax Auto Superstores, Inc.) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Aaliyah Houston v. Carmax Auto Superstores, Inc., (N.J. Ct. App. 2026).

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited . R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION DOCKET NO. A-0350-25

AALIYAH HOUSTON,

Plaintiff-Appellant,

v.

CARMAX AUTO SUPERSTORES, INC., and AMERICAN CREDIT ACCEPTANCE (ACA),

Defendants-Respondents. ______________________________

Submitted June 15, 2026 – Decided July 13, 2026

Before Judges Berdote Byrne and Jacobs.

On appeal from the Superior Court of New Jersey, Law Division, Burlington County, Docket No. L-0031-25.

Aaliyah Houston, self-represented appellant.

Robinson Miller LLC, attorneys for respondents (Michael J. Gesualdo, of counsel and on the brief; Bradley A. Suiters, on the brief).

PER CURIAM Plaintiff challenges the trial court's dismissal of her complaint with

prejudice after it found no valid basis to vacate the arbitration award arising

from a consumer credit dispute she had with defendants. She additionally claims

the trial court erred in dismissing her complaint instead of allowing her to amend

it. After careful review, we affirm. Because plaintiff did not set forth a valid

basis to vacate the arbitration award, her complaint could not proceed, and any

amendment to the complaint would have been futile.

I.

The record demonstrates plaintiff Aaliyah Houston purchased a vehicle

from defendant CarMax Auto Superstores, Inc. ("CarMax"), financing the

purchase through defendant American Credit Acceptance, on November 7,

2020. Plaintiff made a $1,200 down payment, executed several documents by

hand and others electronically in the presence of a CarMax employee, and took

delivery of the vehicle. The retail installment contract included an arbitration

provision and a seven-day return policy.

In November 2022, nearly two years after purchasing her car, plaintiff

notified defendants of her intent to rescind the transaction. She subsequently

initiated arbitration before the American Arbitration Association, alleging

defendants had embezzled her down payment and forged her electronic

A-0350-25 2 signatures on four documents. As a remedy, plaintiff sought title to the vehicle

free of the remaining balance and $28,000 in damages. The arbitrator denied

defendants' motion to dismiss and instead conducted a full evidentiary hearing.

At the hearing, plaintiff appeared on her own behalf, defendants appeared

through counsel, and defendants presented the testimony of a CarMax employee.

On November 25, 2024, the arbitrator issued an award in favor of

defendants on all claims. The arbitrator rejected plaintiff's embezzlement claim,

which was premised on the assertion that she did not want to pay a $1,200 down

payment. Instead, the arbitrator found plaintiff's down payment was an ordinary

component of the transaction, plaintiff had voluntarily provided the payment,

and she could have declined to proceed with the purchase. The arbitrator

likewise rejected plaintiff's forgery claim, found the testimony of the CarMax

employee credible regarding the execution of the documents, and found

plaintiff's denial of electronically signing four of the documents not credible.

The arbitrator noted the terms of the four disputed documents were also reflected

in the retail installment contract, which plaintiff admitted to signing. The

arbitrator addressed each statute cited by plaintiff—including 12 C.F.R. §

1026.23 (Regulation Z), 18 U.S.C. §§ 1028, 1348, 1033(b), 495, 29 U.S.C. §

A-0350-25 3 1109, and 15 U.S.C. § 1611—and found none of them applicable to plaintiff's

circumstances. Accordingly, the arbitrator denied all of plaintiff's claims.

Undeterred, plaintiff filed a complaint in the Law Division, seeking to

vacate or modify the arbitration award, rescind the transaction, remove all liens

associated with the vehicle, and recover $28,000 in damages. The case was

removed to federal court but subsequently remanded for lack of subject matter

jurisdiction.

Defendants then moved to dismiss the complaint. On July 1, 2025, before

the return date of the motion, plaintiff filed an amended complaint without leave

of court or defendants' consent, alleging the arbitration award demonstrated a

manifest disregard of federal law and reiterating many of the same allegations

as the original complaint.

Defendants requested the court disregard plaintiff's amended complaint

because it was filed without their consent or leave of court in violation of Rule

4:9-1, or, in the alternative, the court apply their pending motion to dismiss to

the amended complaint, arguing it was substantially similar to the original.

Plaintiff objected, acknowledged the amended complaint was procedurally

defective, and requested the court grant her leave to amend. The court heard

oral argument on August 1, 2025. Defendants contended plaintiff had received

A-0350-25 4 a full and fair arbitration hearing and had not pleaded facts supporting any

statutory grounds to vacate the award. Plaintiff argued the arbitrator had

manifestly disregarded the law and conceded her original and amended

complaints contained the same information regarding this alleged disregard.

The court granted defendants' motion to dismiss the complaint with

prejudice, stating it had considered both the complaint and the amended

complaint and found no appropriate basis for vacating the arbitration award

pursuant to the New Jersey Arbitration Act or the Federal Arbitration Act. It

concluded plaintiff's arguments were merits-based disagreements with the

arbitrator's findings, which are not grounds to vacate an award, and the

complaint did not set forth a claim that was not addressed by the arbitration

award. This appeal followed.

II.

We "review the trial court's decision on a motion to vacate an arbitration

award de novo." Yarborough v. State Operated Sch. Dist. of Newark, 455 N.J.

Super. 136, 139 (App. Div. 2018). "Private sector arbitration awards are . . .

subjected to an extraordinarily deferential standard of review." Rappaport v.

Pasternak, 260 N.J. 230, 250 (2025). "An award may not be vacated or modified

simply because a court disagrees with the arbitrator's interpretation of the law

A-0350-25 5 or view of the facts[.]" Id. at 250-51. The grounds for vacating an award are

narrowly limited to cases where:

(1) the award was procured by corruption, fraud, or other undue means;

(2) the court finds evident partiality by an arbitrator; corruption by an arbitrator; or misconduct by an arbitrator prejudicing the rights of a party to the arbitration proceeding;

(3) an arbitrator refused to postpone the hearing upon showing of sufficient cause for postponement, refused to consider evidence material to the controversy, or otherwise conducted the hearing contrary to section 15 of this act, so as to substantially prejudice the rights of a party to the arbitration proceeding; (4) an arbitrator exceeded the arbitrator's powers;

[N.J.S.A.

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