N.J. Judge in SiriusXM False Ad Case Orders Discovery Limited to Issue of Arbitrability

U.S. District Judge Michael Shipp for New Jersey in Trenton denied without prejudice SiriusXM’s motion to compel plaintiff Robyn Posternock’s fraud claims to arbitration, said his signed order Thursday (docket 3:23-cv-02680). In reviewing the Rule 56(d) declaration submitted by Posternock's counsel, the court finds that Posternock “has adequately demonstrated that limited discovery is warranted” before a decision is made on SiriusXM’s motion to compel, said the order. The parties are to engage in limited discovery on the issue of arbitrability, to be completed by May 31, it said. The parties are to submit a joint proposed scheduling order by March 29 on the limited issue of arbitrability, it said. After that limited discovery is complete, SiriusXM will be permitted to file a “renewed” motion to compel arbitration, which the court will assess “under a Rule 56 summary judgment standard,” said the order. Posternock's class action is one of several to allege that SiriusXM falsely advertises its music plans at lower prices than it actually charges (see 2308210017).