Madison Reed Loses Bid to Arbitrate Lawsuit Over Junk Calls

Madison Reed Inc. must face a consumer’s lawsuit over unwanted telephone soliciations in court rather than before an arbitrator, a federal judge said.

Plaintiff Rachel Mochan didn’t show that she agreed to be bound by the mandatory arbitration provision in the Madison Reed website’s terms and conditions when she clicked a button confirming a hair-color appointment, Judge Rodney Smith of the US District Court for the Southern District of Florida said Wednesday.

Smith denied the company’s motion to compel arbitration and stay proceedings.

Mochan said that Madison Reed, a provider of hair-care products and services, repeatedly made telemarketing calls and ...