A federal court in Colorado recently confirmed that a conspicuous arbitration clause may preclude a consumer from prosecuting class claims in court even if the consumer did not affirmatively and expressly consent to the clause.

In Brant et al. v. Parking Revenue Recovery Services Inc., No. 1:25-cv-01771 (D. Colo. 2026), a consumer sought to assert claims on behalf of a nationwide class against the owners of a large network of parking lots.  The plaintiff alleged that customers were overcharged for parking at lots located across the country as a result of confusing payment systems and predatory pricing tactics.  The defendant moved to compel arbitration, relying on an arbitration clause displayed on conspicuous signage posted at entrances, exits, and pay stations at the lots:

The court found this arbitration clause and class action waiver binding and compelled arbitration, rejecting the plaintiff’s argument that the signs were insufficient to establish mutual assent.  The court analogized the physical signs to “clickwrap” agreements in the digital context, where users must affirmatively accept the terms before they can use the software or website in question.  The court found that drivers parking their cars and walking away without reading the contracts set forth on the signs were akin to online users skipping through the terms of use and clicking “Accept” without reading—though the consumer in both instances may not be aware of the terms they agreed to, they are nonetheless bound by them.

The decision in Brant is a reminder that mutual assent analysis in the context of a motion to compel arbitration is a fact dependent inquiry, and that prominently displayed clauses are more likely to be enforced by courts.

Photo of Andrew Ruffino Andrew Ruffino

Andrew Ruffino represents financial institutions and other corporate clients in complex litigation involving antitrust and securities law, banking regulations, business torts, consumer protection statutes, and corporate governance issues.

Andrew has extensive experience defending class actions and other cases arising out of corporate transactions…

Andrew Ruffino represents financial institutions and other corporate clients in complex litigation involving antitrust and securities law, banking regulations, business torts, consumer protection statutes, and corporate governance issues.

Andrew has extensive experience defending class actions and other cases arising out of corporate transactions and financial instruments. He has handled litigation and investigations focusing on accounting issues, including options backdating, accounting for derivatives, revenue recognition, and purchase accounting. He has also served as counsel to court-appointed fiduciaries in S.E.C. enforcement proceedings.

Andrew serves as a General Counsel of the firm. He previously served as a member of the Covington Management Committee, the Managing Partner of the firm’s New York office, and a vice chair of the firm’s litigation practice group.

Photo of Zhi Yang Tan Zhi Yang Tan

Zhi Yang Tan is an associate in the firm’s Palo Alto Office, where his practice focuses on defending complex class actions. He has experience defending clients against litigation involving consumer protection, privacy, and personal injury claims in state and federal courts across the…

Zhi Yang Tan is an associate in the firm’s Palo Alto Office, where his practice focuses on defending complex class actions. He has experience defending clients against litigation involving consumer protection, privacy, and personal injury claims in state and federal courts across the country.