Associated Physicians of Dearborn, PLLC v. United Parcel Service, Inc.

CourtDistrict Court, E.D. Michigan
DecidedMarch 13, 2026
Docket2:25-cv-10278
StatusUnknown

This text of Associated Physicians of Dearborn, PLLC v. United Parcel Service, Inc. (Associated Physicians of Dearborn, PLLC v. United Parcel Service, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Associated Physicians of Dearborn, PLLC v. United Parcel Service, Inc., (E.D. Mich. 2026).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION

ASSOCIATED PHYSICIANS OF DEARBORN, PLLC,

Plaintiff, Case No. 25-cv-10278

v. Honorable Robert J. White

UNITED PARCEL SERVICE, INC.,

Defendant.

ORDER GRANTING DEFENDANT’S MOTION TO COMPEL ARBITRATION

This case involves Plaintiff Associated Physicians of Dearborn, PLLC’s claims against Defendant United Parcel Service, Inc. (UPS) for breach of statutory duties under 49 U.S.C. § 14706, et seq., negligence, breach of contract, and conversion. Plaintiff alleges that Defendant lost and failed to deliver a roughly $28,300 shipment of medical supplies. (ECF No. 1). Before the Court in this matter is Defendant’s motion to compel arbitration. (ECF No. 15). The Parties fully briefed the motion and the Court will decide it without oral argument pursuant to Local Rule 7.1(f)(2). For the following reasons, the Court grants the motion to compel arbitration. I. Background Defendant argues that Plaintiff’s shipment, “like all UPS shipments, is subject

to the UPS Tarriff/Terms and Conditions of Service” (the UPS Tarriff/Terms) that include binding arbitration provisions which cover the claims at issue. (ECF No. 15, PageID.82). The UPS Tarriff/Terms provide, in relevant part: Claimant and UPS agree that . . . any controversy or claim, whether at law or equity, arising out of or related to the provision of services by UPS, regardless of the date of accrual of such dispute, shall be resolved in its entirety by individual (not class-wide nor collective) binding arbitration. Claimant and UPS expressly agree that the foregoing obligation to arbitrate disputes regardless of the date of accrual of such disputes includes, but is not limited to, preexisting disputes and disputes that arise from or relate to Packages shipped at the time of a previous version of these Terms. Claimant and UPS further agree that the foregoing obligation to arbitrate disputes applies to claims brought by UPS against Claimant, regardless of whether Claimant has also brought a claim against UPS.

(ECF No. 15-1, PageID.139). The terms also state: CLAIMANT AND UPS AGREE THAT WE ARE WAIVING THE RIGHT TO HAVE A TRIAL BY JURY TO RESOLVE ANY DISPUTE ALLEGED AGAINST CLAIMANT, UPS OR RELATED THIRD PARTIES;

CLAIMANT AND UPS AGREE THAT WE ARE WAIVING THE RIGHT TO HAVE A COURT . . . RESOLVE ANY DISPUTE ALLEGED AGAINST CLAIMANT, UPS OR RELATED THIRD PARTIES;

(ECF No. 15-1, PageID.140). According to Defendant, Plaintiff agreed to these arbitration provisions when processing the shipment at issue through the UPS website, which (1) requires users

to check a box verifying such assent before a shipment is processed and (2) displays a hyperlink to the complete UPS Tarriff/Terms when users are asked to assent thereto. (ECF No. 15, PageID.85-87). Defendant provides (1) an image of the check

box and hyperlinks Plaintiff would have seen when placing its order; (2) a physical record detailing Plaintiff’s shipment information; and (3) the declaration of Wynn Rasmuson, one of Defendant’s managers, stating in relevant part that (a) shippers “must confirm their acceptance” of the UPS Tarriff/Terms when processing a

shipment online, and (b) “[i]t is not possible . . . to purchase a UPS shipping label through ups.com without checking the box . . . .” (ECF No. 15-1, PageID.101-07, 109).

Rasmuson also states: Based on my review, Plaintiff processed the Subject Package for shipment on ups.com as a guest user. When processing the Subject Package as a guest user, Plaintiff was presented with a click-through screen under a header titled, “Terms and Conditions,” that disclosed that the UPS Tariff/Terms apply to the shipment and that by creating a shipment, Plaintiff agreed to be bound by the UPS Tariff/Terms and would not attempt to ship any items on a “List of Prohibited Articles for Shipping.” Included in prominent blue, underlined font were hyperlinks to open and view the UPS Tariff/Terms and List of Prohibited Articles for Shipping. Plaintiff was also required to check a box, directly next to the words, “By creating this shipment, I am agreeing to the UPS Tariff/Terms and Conditions of Service” and “I will not attempt to ship any items prohibited by UPS . . . .” To proceed, Plaintiff also had to click a final button, with the prominent text “Pay and Get Label(s).”

(ECF No. 15-1, PageID.106). Plaintiff’s counterarguments are addressed in the analysis that follows. II. Legal Standard In deciding a motion to compel arbitration, a court “must determine whether the dispute is arbitrable, meaning that a valid agreement to arbitrate exists between the parties and that the specific dispute falls within the substantive scope of the

agreement.” Mazera v. Varsity Ford Mgmt. Servs., LLC, 565 F. 3d 997, 1001 (6th Cir 2009). Stated somewhat differently and with greater nuance, (1) the court “must determine whether the parties agreed to arbitrate;” (2) “it must determine the scope

of that agreement;” (3) “if federal statutory claims are asserted, it must consider whether Congress intended those claims to be non[-]arbitrable;” and (4) “if the court concludes that some, but not all, of the claims in the action are subject to arbitration, it must determine whether to stay the remainder of the proceedings pending

arbitration.[1]” McGee v. Armstrong, 941 F. 3d 859, 865 (6th Cir. 2019).

1 The United States Supreme Court recently held that “[w]hen a federal court finds that a dispute is subject to arbitration, and a party has requested a stay of the court proceeding pending arbitration, the court does not have discretion to dismiss the suit on the basis that all the claims are subject to arbitration.” Smith v. Spizzirri, 601 U.S. 472, 475-76 (2024). Defendant here requests a stay pending arbitration, so the Court cannot dismiss the case even if all claims are arbitrable. “Mandatory arbitration agreements . . . are governed by the Federal Arbitration Act, which evidences a strong policy preference in favor of arbitration.”

Mazera, 565 F. 3d at 1001. “Although the Federal Arbitration Act requires a court to summarily compel arbitration upon a party’s request, the court may do so only if the opposing side has not put the making of the arbitration contract ‘in issue.’”

Boykin v. Family Dollar Stores of Michigan, LLC, 3 F. 4th 832, 835 (6th Cir. 2021) (quoting 9 U.S.C. § 4 (“[U]pon being satisfied that the making of an agreement for arbitration . . . is not in issue, the court shall make an order directing the parties to proceed to arbitration in accordance with the terms of the agreement. . . . . If the

making of the arbitration agreement . . . be in issue, the court shall proceed summarily to the trial thereof.”)). Where, as here, the non-movant disputes the existence of an agreement to

arbitrate, the district court is to evaluate whether the non-movant has “adequately challenged the making of the contract using the standards that apply on summary judgment.” Boykin, 3 F. 4th at 835. Under these standards, “the movant asserting the existence of a contract[]

must initially carry its burden to produce evidence that would allow a reasonable jury to find that a contract exists.” Chaudhri v. StockX, LLC, 19 F. 4th 873, 881 (6th Cir. 2021). “[I]n order to show that the validity of the agreement is ‘in issue’ [under

9 U.S.C. § 4

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Associated Physicians of Dearborn, PLLC v. United Parcel Service, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/associated-physicians-of-dearborn-pllc-v-united-parcel-service-inc-mied-2026.