The Eastern District Court has stayed a case pending arbitration in which a driver claims Toyota shared driving data with Progressive.
Chief Judge Amos Mazzant issued his ruling Tuesday, where he wrote that the arbitration agreement satisfied the elements of a binding contract.
“The Court finds the hyperlinks to Toyota’s Terms of Use found on the various screens with which Plaintiff interacted were reasonably conspicuous and placed Plaintiff on notice of the Arbitration Agreement. Accordingly, by signing up and linking his vehicle to the Toyota App and activating Connected Services, Plaintiff manifested his assent to be bound by Toyota’s Terms of Use, which included the Arbitration Agreement,” Chief Judge Mazzant wrote.
Florida resident Philip Siefke filed the class action lawsuit in April, claiming Plano-based Toyota violated the Computer Fraud and Abuse Act, committed breach of contract and was unjustly enriched. He also claimed the automaker and Progressive allegedly violated the Federal Wiretap Act and committed invasion of privacy.
In Siefke’s complaint, he claimed that Toyota collected data, including location, speed, directions, breaking and swerving/cornering events, image and voice data and other personal identifiable information and sold it to third parties.
The lawsuit states the amount in controversy is over $5 million.
Bruce Steckler, Austin Smith, Jack Kelley and Paul Stickney of Steckler Wayne Cochran, Anne Davis and Lesley Weaver of Bleichmar Fonti & Auld, Antonio Arzola Jr., John Yanchunis and Ronald Podolny of Morgan & Morgan, Gary Graifman of Kantrowitz, Goldhamer & Graifman, Lynda Grant of The Grant Law Firm, and Sabita Soneji of Tycko and Zavareei represent Phillip Siefke.
Cari Dawson, David Carpenter and Theodore Stevenson of Alston & Bird represent Toyota.
Andrew DeCarlow, Damon Elder and David Levy of Morgan Lewis & Bockius represent Progressive.
Jessica Magee, Jacob Hadjis, Mark Francis, Tricia DeLeon of Holland & Knight represent Connected Analytic Services.
None of the lawyers involved responded to a request for comment.
The case is Philip Siefke v. Toyota Motor North America, Inc., Progressive Casualty Insurance Company, Connected Analytic Services, 4:25-cv-00406.