Forced Arbitration

U.S. Supreme Court Rejects Arbitration For Transportation Workers

January 15, 2019 by

The U.S. Supreme Court ruled Tuesday that trucking company New Prime Inc. cannot compel arbitration in a class action alleging it failed to pay independent contractor truck-drivers the proper minimum wage. The Supreme Court found that transportation workers engaged in interstate commerce, including those classified as independent contractors, are exempt from the Federal Arbitration Act

Uber Claims It Is Ending Arbitration For Sexual Harassment Claims, But It Still Bars Class Actions

May 29, 2018 by

Uber won praise on May 12, 2018, when it announced it would no longer steer sexual misconduct claims into arbitration. However, the announcement failed to note that the company refrained from any promises that it would free victims from arbitration agreements if their claims are part of class action litigation.

Media just becoming aware that Georgia Representative is seeking to gut the Fair Credit Reporting Act to protect Equifax

September 27, 2017 by

Many articles are now appearing pointing out that Georgia Representative Loudermilk proposed a bill to gut the regulations applicable to Equifax (which is headquartered in Georgia) just before the data breach became public. Here are links to the articles:

L.A. Times says Equifax forced arbitration clause is not the outrage, it is all the others

September 26, 2017 by

David Lazarus, a business reporter for the L.A. Times, wrote an article stating that consumers are just now becoming aware of the forced arbitration issue because of the Equifax attempt to force consumers whose data had been stolen to waive their right to bring cases in court by inserting a forced arbitration clause in the

American Banker Magazine says that Equifax data breach may doom GOP efforts to stop CFPB from banning class action waivers

September 13, 2017 by

An interesting article in the American Banker Magazine says that the hoopla surrounding the Equifax data breach, including Equifax’s efforts to force consumers into arbitration after the data breach, may mean doom for GOP efforts to reverse the rule adopted by the CFPB that bans forced arbitration and class action waivers.

SEC Commissioner suggests that SEC will allow corporations to put mandatory arbitration clauses into their charters to avoid shareholder securities fraud class actions

August 29, 2017 by

A brief remark from SEC Commissioner Michael Piwowar during a July 17, 2017, Q&A suggests that he believes the U.S. Securities and Exchange Commission might soon allow companies to introduce mandatory arbitration clauses into their corporate charters.

Republicans move to invalidate new CFPB rule banning forced arbitration

July 21, 2017 by

On July 20, 2017, Congressional Republicans began a process to attempt to eliminate a Consumer Financial Protection Bureau rule that stops companies from putting class action bans in their arbitration clauses and makes it easier for consumers to sue banks, credit card firms, payday lenders and other service providers in court.

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