American Institute for Foreign Study, Inc. v. Fernandez-Jimenez, No. 20-1641 (1st Cir. 2021)
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The First Circuit affirmed the judgment of the district court granting a preliminary injunction to the American Institute for Foreign Study, Inc. to enjoin class arbitration in this dispute with an au pair, holding that the agreement between the parties did not authorize class arbitration, and the au pair's claim was moot.
The Institute, which places au pairs with host families in the United States, entered into a contract with Plaintiff, an au pair from Spain, that required the parties to arbitrate their disputes. Plaintiff filed a class arbitration demand against the Institute and its CEO, William Gertz (together, Defendants). Defendants subsequently filed suit seeking to enjoin class arbitration. The district court denied relief to Gertz and granted a preliminary injunction to the Institute. The First Circuit affirmed, holding (1) the agreement did not provide an affirmative basis to conclude that the parties agreed to class arbitration; and (2) Gertz's claim was moot.
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