VALIENTE v. NEXGEN GLOBAL, LLC

CourtDistrict Court, S.D. Florida
DecidedSeptember 22, 2023
Docket1:22-cv-22480
StatusUnknown

This text of VALIENTE v. NEXGEN GLOBAL, LLC (VALIENTE v. NEXGEN GLOBAL, LLC) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
VALIENTE v. NEXGEN GLOBAL, LLC, (S.D. Fla. 2023).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA

CASE NO. 22-cv-22480-ALTMAN/Reid

HERIBERTO VALIENTE,

Plaintiff,

v.

NEXGEN GLOBAL, LLC,

Defendant. _________________________________________/ ORDER Our Defendant, Nexgen Global LLC, asks us to send the Plaintiff, Heriberto Valiente, to mandatory arbitration. As Nexgen sees it, Valiente agreed to arbitrate his claims against Nexgen in three ways: (1) when he used Nexgen’s website to buy some car-detailing products (this is the “browsewrap theory”); (2) when he clicked a button on the website and consented to receive emails, calls, and text messages from Nexgen (this is the “clickwrap theory”); and (3) when he “double opt[ed]- in” to Nexgen’s email, call, and text program by clicking on a link and confirming (in a later email) his email address. Because we find all three of Nexgen’s arguments unpersuasive, we DENY the Defendant’s Motion to Compel Arbitration and to Stay Proceedings (“Motion”) [ECF No. 13]. THE FACTS “On February 23, 2022, [Valiente] landed on Nexgen’s promotional landing page, offer2.getnexgen.com,” Motion at 3 (citing Declaration of Michael Cantrell (“Cantrell Decl.”) [ECF No. 13-1] ¶ 6), where he purchased “two Nexgen Ceramic Sprays,” ibid. During the checkout process, Valiente was asked to include his “contact information, including a phone number and an email address.” Id. at 5 (citing Cantrell Decl. ¶ 10). Before Valiente “could proceed to the next page,” where he would have to provide his billing information, “Nexgen’s website guided [him] to click ‘Go [T]o Step #2.’” Ibid. “Underneath that button,” Nexgen included the following language: By clicking “Go To Step #2” above, I consent to receive from Nexgen emails, calls, and SMS text messages at any time, which could result in wireless charges, at the number provided above. I understand that consent is not a condition of purchase. Ibid. (citing Cantrell Decl. ¶ 10). Valiente ultimately clicked that button and purchased the two Nexgen products. Ibid. (“Plaintiff followed all of these steps before purchasing his two Nexgen products on the company’s website.” (citing Cantrell Decl. ¶ 11)). The bottom of Nexgen’s website included a hyperlink to Nexgen’s “Terms of Use.” Id. at 4 (“Not only are the Terms of Use accessible at the bottom of the pages that [Valiente] clicked on in order to redeem the ‘Buy One Get One Free’ offer, . . . they are prominently accessible on all pages of Nexgen’s website.” (emphasis in original)). In support of its Motion, Nexgen gives us the following two views of this hyperlink from the two pages of its website Valiente visited: © Does NEXGEN protect against all environmental conditions?

Ready to try NEXGEN Ceramic Spray? a ae | FA rs oT me GE WY Ma fy ra rs atts bee !

iN =i =a ee ey Creed oon ned □□ ee ee ere cet) eS Er ge et rn)

iN =e] aise Mee le liad WIT rams ee ed Cole mir tec) CPiyre obec Genel Pee ree ERED uc Ee mers eM Glee cere Id, at 4—5 (citing Cantrell Decl. | 7). If Valiente had clicked on the Terms of Use, he would have seen that, “[b]y accessing the Company Website [Nexgen’s website], you agree to abide by the Terms of Use and Privacy Policy. If you do not agree to be bound by the terms and conditions of this Agreement, you may not use or access the Service [defined as ‘your use of the Company Website and the products and services provided through or in connection with the Company Website’].” Exhibit 1 to Cantrell Decl. (“Terms of Use”) [ECF No. 13-1] at 10. The Terms of Use also sported a section titled “SMS/MMS MOBILE

MESSAGE MARKETING PROGRAM TERMS AND CONDITIONS” (hereinafter, the “Messaging Program”). Id. at 11. Here’s what the Messaging Program entailed: Nexgen is offering a mobile messaging program (the “Program”), which you agree to use and participate in subject to these Mobile Messaging Terms and Conditions and Privacy Policy . . . . By opting in to or participating in any of our Programs, you accept and agree to these terms and conditions, including, without limitation, your agreement to resolve any disputes with us through binding, individual-only arbitration, as detailed in the “Dispute Resolution” section below. This Agreement is limited to the Program and is not intended to modify other Terms and Conditions or Privacy Policy that may govern the relationship between you and Us in other contexts. Id. at 11–12. The “Dispute Resolution” section required that, “[i]n the event that there is a dispute, claim, or controversy between you and Us . . . such dispute, claim, or controversy will be, to the fullest extent permitted by law, determined by arbitration in Las Vegas[,] Nevada before one arbitrator.” Id. at 14. The Dispute Resolution Section was followed by additional details about the arbitration provision—for example: “The parties agree to submit the dispute to binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association (‘AAA’) then in effect.” Ibid. Together, these two sections are the arbitration agreement Nexgen now wants to enforce. The Messaging Program also explained that users could either opt in or out of the program as follows: 1. User Opt-In: The Program allows Users to receive SMS/MMS mobile messages by affirmatively opting into the Program, such as through online or application- based enrollment forms.

2. User Opt-Out: If you do not wish to continue participating in the Program or no longer agree to this Agreement, you agree to reply STOP, END, CANCEL, UNSUBSCRIBE, or QUIT to any mobile message from Us in order to opt-out of the Program. You may receive an additional mobile message confirming your decision to opt-out. You understand and agree that the foregoing options are the only reasonable methods of opting out. Id. at 12. THE LAW In 1925, “Congress enacted the Federal Arbitration Act to overcome ‘the judiciary’s long- standing refusal’ to enforce arbitration agreements and, in particular, to place such agreements ‘upon the same footing as other contracts.’ The Act thus aimed to ‘make arbitration agreements as enforceable as other contracts, but not more so.’” Calderon v. Sixt Rent a Car, LLC, 5 F.4th 1204, 1215– 16 (11th Cir. 2021) (Newsom, J., concurring) (first quoting Volt Info. Scis., Inc. v. Bd. of Trs. of Leland

Stanford Junior Univ., 489 U.S. 468, 478 (1989) (cleaned up); and then quoting Prima Paint Corp. v. Flood & Conklin Mfg. Co., 388 U.S. 395, 404 n.12 (1967)). “Section 2, the primary substantive provision of the Act, provides, in relevant part, as follows: ‘A written provision in any maritime transaction or a contract evidencing a transaction involving commerce to settle by arbitration a controversy thereafter arising out of such contract or transaction . . . shall be valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract.’” AT&T Mobility LLC v. Concepcion, 563 U.S. 333, 339 (2011) (quoting 9 U.S.C. § 2 (cleaned up)). The Supreme Court has “described this provision as reflecting both a ‘liberal federal policy favoring arbitration,’ and the ‘fundamental principle that arbitration is a matter of contract.’” Ibid. (first quoting Moses H. Cone Mem’l Hosp. v. Mercury Constr. Corp., 460 U.S. 1, 24 (1983); and then quoting Rent-A-Ctr., W., Inc. v. Jackson, 561 U.S. 63, 67 (2010)).

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VALIENTE v. NEXGEN GLOBAL, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/valiente-v-nexgen-global-llc-flsd-2023.