Belyea v. GreenSky, Inc.
- Jacquelyn Corley
- 3:20-cv-01693
- U.S. District Court · Northern District of California
- 1
In Belyea v. GreenSky, Judge Corley postponed the arbitration hearing and ordered supplemental briefing on new arguments.
Elizabeth Belyea and GreenSky of Georgia, LLC and GreenSky, LLC; the order postponed the hearing and set supplemental-briefing deadlines for the parties.
What happened
Elizabeth Belyea brought a proposed class action against GreenSky of Georgia, LLC and GreenSky, LLC, alleging violations of California consumer-protection, lending, and credit-services laws. GreenSky asked the court to require arbitration.
GreenSky raised two new arguments in its reply brief: that it could enforce the arbitration agreement as an agent of SunTrust Bank or under a fairness-based legal theory called equitable estoppel. GreenSky also submitted new evidence. The court said it could not consider those materials without giving Belyea a chance to respond.
The court vacated the May 21, 2020 hearing and ordered Belyea to file a supplemental brief of no more than seven pages by June 1, 2020. GreenSky's supplemental reply, limited to five pages, was due June 8, 2020. Judge Jacqueline Scott Corley said the court would later announce a new hearing date, if any; the order did not decide the motion to compel arbitration.
The detailed version
- Belyea v. GreenSky, Inc. · No. 3:20-cv-01693
- Jacquelyn Corley
- May 18, 2020
Background
Elizabeth Belyea filed a putative class action against GreenSky of Georgia, LLC and GreenSky, LLC, which the opinion collectively calls “GreenSky.” She alleges violations of California consumer-protection, lending, and credit-services laws. GreenSky filed a motion to compel arbitration, asking the court to require arbitration of the dispute.
Reason for the Order
In its reply brief, GreenSky presented two new arguments for enforcing the arbitration agreement even though GreenSky was not a signatory: that it acted as an agent of SunTrust Bank, the lender, or that equitable estoppel applied. GreenSky also submitted new evidence. The court stated that it could not consider those new arguments and evidence without allowing Belyea to respond.
Court’s Action
The court vacated the May 21, 2020 hearing. It ordered Belyea to file a supplemental brief of no more than seven pages addressing the agency and equitable-estoppel arguments by June 1, 2020. GreenSky’s supplemental reply, limited to five pages, was due June 8, 2020. After the supplemental briefing, the court said it would notify the parties of a new hearing date, if any.
This order addressed scheduling and supplemental briefing. It did not grant or deny GreenSky’s motion to compel arbitration and did not decide whether arbitration was required.
Read the full 1-page opinion on CourtListener, the free public archive maintained by the Free Law Project.