Buckeye Check Cashing, Inc. v. John Cardegna et al. (546 U.S. 440)

U.S. Supreme Court · decided February 21, 2006 · Supreme Court Database (Spaeth)

Citation
546 U.S. 440 · 126 S. Ct. 1204
Decided
February 21, 2006
Term
October Term 2005
Vote
7–1
Majority author
Justice Scalia
Issue area
Economic Activity
Disposition
Reversed and remanded
Outcome
Petitioning party won
Ideological direction
Conservative

Opinion excerpt

Justice Scalia delivered the opinion of the Court. We decide whether a court or an arbitrator should consider the claim that a contract containing an arbitration provision is void for illegality. I Respondents John Cardegna and Donna Reuter entered into various deferred-payment transactions with petitioner Buckeye Check Cashing (Buckeye), in which they received cash in exchange for a personal check in the amount of thie cash plus a finance charge. For each separate transaction they signed a “Deferred Deposit and Disclosure Agreement” (Agreement), which included the following arbitration provisions: “1. Arbitration Disclosure By signing this Agreement, you agree that i[f] a dispute of any kind arises out of this Agreement or your application therefore or any instrument relating thereto, th[e]n either you or we or third-parties involved can choose to have that dispute resolved by binding arbitration as set forth in Paragraph 2 below.... “2. Arbitration Provisions Any claim, dispute, or controversy . . . arising from or relating to this Agreement ... or the validity, enforceability, or scope of this Arbitration Provision or the entire Agreement (collectively ‘Claim’), shall be resolved, upon the election of you or us or said third-parties, by binding arbitration .... This arbitration Agreement is made pursuant to a transaction involving interstate commerce, and shall be governed…

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