Arbitration Enforcement, Proceedings

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.

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...

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.

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...

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.

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

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.

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.

The Supreme Court has just made it harder, but not impossible, for consumers to proceed in arbitration on a class basis. An ambiguous provision is insufficient to authorize class arbitration, but this article explains how language commonly found in arbitration agreements might still be found to authorize class arbitration.

The Consumer Financial Protection Bureau on May 5 released its proposed rule that would largely eliminate mandatory arbitration of financial services class actions. A summary of the proposal and a listing of other limits on mandatory arbitration is found here.