A Wall Street Journal reporter calls for abolition of mandatory arbitration

Posted on: July 31st, 2014 by Steve Larson

Magnifying Glass Over Contract PapersIn a recent posting on the Wall Street on Parade, Pamela Martens and Russell Martens describe a book written by Scott Patterson, a Wall Street Journal Reporter describing how the United States Securities Market has become one vast dark pool.  Here is the link to the article. http://wallstreetonparade.com/2014/07/wall-street-journal-reporter-the-entire-united-states-market-has-become-one-vast-dark-pool/.

Pamela Martens and Russell Martens say that mandatory arbitration should be outlawed for this very reason.  In the article they state:

Wall Street and its sycophants began this journey into darkness with their push to run their own private justice system on Wall Street in the 1980s. Called mandatory arbitration, Wall Street was given a green light by the U.S. Supreme Court in its 1987 decision, Shearson/American Express v. McMahon. Since then, cases filed by both customers and employees against Wall Street firms, which could shed critical light and serve as an early warning system on patterns of fraud and abuses, have been removed from the sunlight of open courtrooms into the dark shadows of a private justice system that claimants believe is rigged against them.