A proposed class action accusing gasoline station operator Sunoco of misrepresenting the benefits of its branded credit card rewards program does not have to be sent to arbitration, a federal appeals court ruled on Tuesday.
Although customers’ credit card agreements called for any disputes to be arbitrated, Sunoco was not a party to the agreements, which were crafted by the card’s issuer, Citibank, a three-judge panel of the 3rd U.S. Circuit Court of Appeals ruled. The panel affirmed a decision by U.S. District Judge Paul Diamond last year rejecting forced arbitration of the lawsuit.
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