On December 14, the Supreme Court issued its decision in DirecTV, Inc. v. Imburgia, reversing a California Court of Appeals decision from last year. The case involved a clause in DirecTV’s consumer arbitration agreement that expressly prohibited class actions in arbitration but also provided that, “[i]f . . . the laws of your state would find this agreement to dispense with class arbitration...
Supreme Court Enters Fray of Nursing Home Arbitration Wars
A May 15 Supreme Court decision is just one of the recent developments concerning arbitration clauses in nursing home contracts. This article explains the decision and other challenges to arbitration requirements in nursing home agreements.
Practice Implications of July CFPB Arbitration Rule, Other Arbitration Developments (Updated)
On July 10, the CFPB issued its long-awaited final rule allowing class actions to proceed in court despite arbitration requirements. This article examines the new rule’s practice implications, outlines other arbitration developments, and provides a thumbnail guide to arbitration issues.
New Magnuson-Moss Rules Aid Consumer Warranty Litigation
On May 28, 2015, the FTC announced new changes to its rules under the Magnuson-Moss Warranty Act that, effective July 20, 2015, will significantly aid private consumer warranty litigation. The details and impact of the new rules are reflected in revised versions of Chapters 2 and 13 of NCLC’s Consumer Warranty Law, now available on-line. Chapter 2 is also fully updated with all the latest Magnuson...
New Developments Limit Arbitration of FDCPA, Other Claims Against Debt Buyers and Collectors
This article highlights two key new developments limiting arbitration of FDCPA and other claims against debt buyers and collectors: a AAA letter about Midland Funding and an important Eleventh Circuit ruling.
Military Lending Act Dramatically Expands Coverage on Oct. 3, 2016
The Talent-Nelson Military Lending Act (MLA), 10 U.S.C. § 987, enacted in 2006, imposes a 36% interest rate cap, bans mandatory arbitration, and imposes other restrictions on “consumer credit” extended to service members and their dependents. The MLA thus applies to more than 5 million Americans. The MLA though applies only to an individual who, at the time he or she becomes obligated on a...
How to Successfully Arbitrate a Case
This article provides step-by-step advice on how to successfully proceed in arbitration. When a challenge to an arbitration requirement fails, proper client representation may require resorting to arbitration as the only available avenue for relief. Every consumer attorney should be prepared to arbitrate a case—the right case before the right arbitrator will produce excellent results.
Four Circuits in 2016 Rule Against Arbitration Requirements
Two circuits earlier this year held arbitration inapplicable to non-signatories, and another two circuits (despite Italian Colors) ruled that arbitration cannot limit federal statutory rights through high fees or the use of tribal law. More detail can be found in this article
Defendant’s Conduct May Waive Right to Require Arbitration
As detailed in this article, a defendant may waive its right to compel arbitration by refusing to pay arbitration fees, by participating in class litigation pre-certification, or by participating too long in an individual or even a related court action.
Class Waivers Under Attack on Another Front
The Seventh Circuit on May 26 ruled that the National Labor Relations Act prohibits enforcement of class waivers against employees. This article explains the case and its implications for challenges to arbitration of both employment and consumer disputes.