Carr v. Gateway, Inc.

State: Illinois

Court: 5th District Appellate

Docket No: 5-07-0711 Rel

Case Date: 11/24/2009

Preview:Rule 23 order filed October 16, 2009; Motion to publish granted November 24, 2009.

NO. 5-07-0711 IN THE APPELLATE COURT OF ILLINOIS

FIFTH DISTRICT ________________________________________________________________________ WILLIAM CARR, Individually and on Behalf ) Appeal from the of All Others Similarly Situated, ) Circuit Court of

Plaintiff-Appellee, v. GATEWAY, INC.,

) Madison County. ) ) ) No. 03-L-1271 )

) Honorable ) Ralph J. Mendelsohn, Defendant-Appellant. ) Judge, presiding. ________________________________________________________________________ JUSTICE SPOMER delivered the opinion of the court: The defendant, Gateway, Inc. (Gateway), appeals the order of the circuit court of Madison County that denied its motion to dismiss or in the alternative to compel arbitration and stay proceedings (motion to compel arbitration) on the claims raised in the class action complaint filed by the plaintiff, William Carr, individually and on behalf of all others similarly situated. For the following reasons, we affirm. FACTS On June 3, 2002, a class action complaint was filed in cause number 02-L-788, styled Deanna L. Neubauer, Robert Carr, Michael Bundy, Sandra Pyle, and Rhonda Byington, individually and on behalf of all others similarly situated v. Intel Corporation, Gateway, Inc., Hewlett-Packard Company, and HP Direct, Inc. The complaint alleges that Intel Corp. (Intel), in the marketing of its Pentium 4 processors, and Gateway, Hewlett-Packard Company, and H-P Direct (HP), in the marketing of their Pentium 4 computers, have engaged in conduct which is likely to mislead, and has misled, the public through the suppression and concealment from the public of the material fact that there is no benefit to

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consumers in choosing the Pentium 4 over the Pentium III and that the Pentium 4 is less powerful and slower than the Pentium III and/or the AMD Athlon processors. The complaint further alleges that the defendants made or disseminated misleading statements regarding the power and speed of the Pentium 4. Counts IV, V, and VI of the complaint were initially brought by Robert Carr against Gateway and allege causes of action pursuant to the California Consumers Legal Remedies Act (Cal. Civ. Code

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