Jeanes v. Arrow Insurance Company
In Jeanes v. Arrow Insurance Company, 16 Ariz. App. 589, 494 P.2d 1334 (1972), the Court held that a passenger, who was a third-party beneficiary of an insured's automobile liability policy, was bound by the arbitration provision in the policy even though she was not a party to the policy and had never personally agreed to submit to arbitration.
The Court explained:
The rights involved here were created by that contract the policy, and in order to accept benefits under that contract she must accept and abide by the terms of the contract. Id. at 592, 494 P.2d at 1337.