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IN THE UNITED STATES DISTRICT COURT
`FOR THE WESTERN DISTRICT OF MISSOURI
`WESTERN DIVISION
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`AARICKA SWANSON,
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`Plaintiff,
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`vs.
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`H&R BLOCK, INC., et al,
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`Defendants.
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`Case No. 19-00788-CV-W-GAF
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`ORDER
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`Now before the Court is Defendants H & R Block, Inc., H & R Block Tax Group, Inc., and
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`HRB Digital, LLC’s (collectively “H & R Block” or “Defendants”) Motion to Enforce Order and
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`Compel Arbitration. (Doc. # 41). Plaintiff Aaricka Swanson (“Plaintiff”) opposes. (Docs. # 47).
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`After due consideration of briefing submitted by the parties, and for good cause shown,
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`Defendants’ Motion is GRANTED.
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`DISCUSSION
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`The present lawsuit arises from an alleged scheme perpetrated by H & R Block to deceive
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`low-income tax-payers who are eligible to receive free tax preparation and filing services under
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`the United States Internal Revenue Service’s (“IRS”) Free File Program by diverting those
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`taxpayers to paid tax-filing products. (Doc. # 1 (“Complaint”), ¶ 1)). In connection with the alleged
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`deception, Plaintiff asserted five claims on behalf of herself, a proposed Nationwide Class, and a
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`California Subclass alleging violations of the California Consumer Legal Remedies Act (“CLRA”)
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`(Count I), violations of the California Unfair Competition Law (“UCL”) (Count II), violations of
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`the California False Advertising Law (“FAL”) (Count III), Breach of Contract (Count IV), and
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`Fraud (Count V). (Id.). (Complaint, ¶ 13). Shortly after the filing the of Plaintiff’s Complaint
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`Case 4:19-cv-00788-GAF Document 50 Filed 02/10/21 Page 1 of 3
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`1
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`with this Court, Defendants moved to compel all claims to individual arbitration and stay litigation
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`of the matter pursuant to the terms of an Arbitration Agreement that was electronically accepted
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`by Plaintiff as part of a larger container contract (i.e. Online Services Agreement). (Doc. # 18;
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`Doc. # 40, p. 10).
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`In an Order issued July 27, 2020, the Court determined the Arbitration Agreement was
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`enforceable and compelled all five of Plaintiffs claims to individualized arbitration and stayed the
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`litigation pending completion of that process. (Doc. # 40, pp. 16-17). Plaintiff subsequently
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`submitted only her fraud claim (Count V) to arbitration, resulting in Defendants’ pending motion
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`to enforce the Court’s July 27, 2020 Order. (Doc. # 41; Doc. # 42-1, ¶ 49). In opposing the
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`pending motion, Plaintiff argues submission of all claims is unnecessary because the arbiter could
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`find that the container contract was induced by fraud, thereby rendering the attendant Arbitration
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`Agreement unenforceable and terminating the arbiter’s jurisdiction. (Doc. # 47, pp. 1-2).
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`Plaintiff’s logic is circular.
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`The Court dedicated several pages of its July 27, 2020 Order to explaining why the
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`Arbitration Agreement is severable from the container contract and therefore not “saved” from
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`enforcement under the FAA. (Doc. # 40, pp. 5-9). The Court spent the remainder of the Order
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`explaining why the Arbitration Agreement is valid and enforceable on its own terms. (Id. at pp.
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`10-17). These arguments and applicable law have been faithfully restated by Defendants in the
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`pending motion and ancillary briefing (Docs. ## 41, 42, 48) and the Court sees no reason to belabor
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`the point by replicating them here. Accordingly, Defendants’ Motion to Enforce is GRANTED.
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`The Court compels the parties to arbitrate all claims in accordance with the terms of the
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`Arbitration Agreement and the Court’s July 27, 2020 Order. The stay was lifted for the limited
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`purpose of ruling this motion. However, the stay shall be reinstated upon entry of this Order. The
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`Case 4:19-cv-00788-GAF Document 50 Filed 02/10/21 Page 2 of 3
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`parties shall file a notice with the Court within ten days of the completion of arbitration. If
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`arbitration is not completed by July 27, 2021, the parties shall jointly file a status report on that
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`date setting forth the status of the matter.
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`IT IS SO ORDERED.
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`s/ Gary A. Fenner
`GARY A. FENNER, JUDGE
`UNITED STATES DISTRICT COURT
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`DATED: February 10, 2021
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`Case 4:19-cv-00788-GAF Document 50 Filed 02/10/21 Page 3 of 3
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