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Friday, May 17, 2024

Plaintiffs settle separate claims with Taco Bell, Pay Pal to avoid arbitration

Federal Court
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EAST ST. LOUIS – Two plaintiffs in U.S. district court settled separate claims against Taco Bell and Pay Pal rather than arbitrate.

On Sept. 20, Taco Bell and former employee Kimberly Coons filed a stipulation to dismiss a claim that Taco Bell violated the privacy of her biometric information in accordance with the Biometric Information Privacy Act (BIPA).

District Judge Stephen McGlynn dismissed the complaint with prejudice on Sept. 21.

He ordered arbitration in May.

Coons sued Caseyville franchise operator Bell American and Taco Bell entities in 2021, proposing a class action for all Taco Bell employees in Illinois.

Bell American moved to enforce an arbitration clause in her contract, and Coons dismissed Bell American from the suit.

The Taco Bell entities moved to enforce the clause, and Coons claimed they couldn’t compel arbitration because they weren’t parties to the contract.

Taco Bell claimed the entities acted as Bell American’s agents.

Coons denied agency relationship, but McGlynn found her complaint was riddled with accusations of knowledge, involvement, and control.

He stayed the case and directed the parties to advise him of the status of arbitration on Nov. 1.

Coons’s counsel Katrina Carroll of Chicago moved for reconsideration on June 6, and McGlynn ordered Taco Bell to respond on June 23.

On June 14, the parties stipulated that they extended Taco Bell’s deadline to July 24.

They advised McGlynn of a settlement on July 20 and made it final two months later.

In another suit, Greenville Correctional resident William Akes and Pay Pal notified McGlynn on Sept. 14 that they settled claims of unjust enrichment and breach of fiduciary duty.

McGlynn appointed Joseph Chambley of Champaign to represent Akes last October.

This June 20, Pay Pal moved to enforce an arbitration clause in Akes’s user agreement.

Chambley notified McGlynn of settlement on June 30 and McGlynn gave the parties 60 days to prepare documents.

Chambley asked for an extension on Aug. 31, stating transmission of a check to Akes took more time than he anticipated.

The check arrived and the case closed.

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