Rosita Smith v. Jem Group Inc

OPINION

W. FLETCHER, Circuit Judge:

JEM Group, Inc. (“JEM”) appeals from the district court’s denial of its motion to compel arbitration. The district court held that it had authority to decide whether an arbitration clause contained in an attorney retainer agreement is unconscionable. On the merits, the court held that the clause is unconscionable under Washington law.

We affirm.

I. Background

Rosita Smith is the lead plaintiff in a proposed class action against JEM, Marshall Banks, LLC (“Marshall Banks”), and Legal Helpers Debt Resolution, LLC (“Legal Helpers”). According to the complaint, JEM…