Last year, the Federal Trade Commission (FTC) held five round tables in three cities discussing consumer debt collection litigation and arbitration. (read more here) The agency issued this week Repairing a Broken System: Protecting Consumers in Debt Collection and Litigation and Arbitration, a report containing the findings, conclusions, and recommendations. Chapter 3 of the FTC [...]
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Last week’s Wall Street Journal had an interesting and well-written article about arbitration of credit card disputes, centered around the National Arbitration Forum (NAF). Hat tip to Don Philbin. Here is an excerpt: Arbitration and mediation have existed as ways to resolve disputes in the U.S. for more than 200 years. They became the standard [...]
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As discussed in our previous posts (here, here, and here) a U.S. Congressional Hearing on consumer debt arbitration was held on July 22, 2009 in Washington D.C. We thought that you might be interesting in watching these videos. Part 1 Part 2 (please fast forward 4:40 minutes) Technorati Tags: arbitration, ADR, law, consumer arbitration addthis_url [...]
The Wall Street Journal reported yesterday that Bank of America will no longer require mandatory arbitration on customers’ credit card disputes (hat tip to our blog contributor Glen M. Wilkerson). Find Bank of America’s letter to Congressman Dennis Kucinich here and press release here. Back in July, JPMorgan Chase suspended mandatory arbitration as well. In [...]
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By Peter Friedman Part One – The Problem: Mandatory Arbitration clauses that preclude class relief in consumer agreements make arbitration a means of precluding consumers from obtaining any feasible relief. Calling “Alternative Rock” a certain style of music some students at liberal arts colleges enjoy has long given the music a sheen of integrity, the [...]
To follow up on our post of earlier this week, regarding the Congressional hearing on consumer debt arbitration held in Washington D.C. on July 22, we thought we would like to read the Opening Statement by Dennis Kucinich, Chairman, Domestic Policy Subcommittee and the Staff Report. Also, following find links to prepared testimony by the [...]
The Wall Street Journal reported that on Tuesday, a representative of the American Bar Association (“AAA”) said the organization will stop participating in consumer-debt-collection disputes until “new guidelines are established.” Read the full story here: An Arbitration Revolution? AAA Joins NAF, Stops Taking New Cases. Hat tip to our good friend and blog contributor Glen [...]
To follow up on our post of last week and as reported by the ADR Prof Blog and Professor Ross Runkel’s Law Memo Arbitration Blog, the National Arbitration Forum (“NAF”) announced that is settling its lawsuit with Minnesota’s Attorney General and agrees to step aside from the credit card and consumer debt arbitration business. Lory [...]
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As announced by this press release, the U.S. Subcommittee on Domestic Policy will hold a hearing related to arbitration on July 22, 2009. The hearing is entitled “Arbitration or ‘Arbitrary’: The Misuse of Arbitration to Collect Consumer Debts.” Experts invited to testify include: Michael Kelly, Chief Operating Officer, National Arbitration Forum Richard W. Naimark, Senior [...]
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GUEST-POST | Part Two: The Emergence in the Last Month of an Express Judicial Recognition that Arbitration Clauses Barring Class Relief in Consumer Agreements Are Void
By Peter Friedman In Part One, we asked whether there is any solution to the problem created by mandatory arbitration clauses and class action waivers in consumer online transactions. As a general rule, courts hold that mandatory arbitration clauses are enforceable. Thus, for example, the Pennsylvania Law Encyclopedia explains that under the Uniform Arbitration Act, [...]
Continue reading about GUEST-POST | Part Two: The Emergence in the Last Month of an Express Judicial Recognition that Arbitration Clauses Barring Class Relief in Consumer Agreements Are Void