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by TillE 1026 days ago
It's still crazy to me that forced arbitration is a thing. It should not be possible to sign away legal rights like that.
4 comments

Tell your congressman to repeal the Federal Arbitration Act of 1925.
It seems to be absolutely everywhere now.

Currently spending the weekend packing for my first move in 5-6 years and, no exaggeration, every single new contract (lease, utilities, garbage, etc) had a forced arbitration clause.

When did these things become universally forced? I distinctly recall arbitration clauses being Big Corp Only things not too long ago - and in many cases, they allowed you to opt-out. Now it’s just a standard part of every boilerplate contract that you have to sign away your rights.

There are a series of awful supreme court decisions (often written by Scalia though not only) that eviscerated the right to actually use the court system.

- Southland Corp. v. Keating, 465 U.S. 1 (1984) arb applies in state courts in addition to federal

- Gilmer v. Interstate/Johnson Lane Corp. 500 U.S. 20 (1991)

- Doctor’s Associates, Inc. v. Casarotto, 517 U.S. 681 (1996)

- Green TreeFinancial Corp.-Ala. .v Randolph, 531 US 79 (2000)

- Prima Paint Corp. v. Flood & Conklin Mfg. Co., 388 US 395 (1967)

- Buckeye Check Cashing, Inc. v. Cardegna, 546 US 440 (2006)

- Rent-A-Center West v. Jackson, 561 US 63 (2010) arbitrator will determine the enforceability of the agreement

- Hall Street Associates, L.L.C. v. Mattel, Inc., 552 US 576 (2008) arb award can't be modified

- Gilmer v. Interstate/Johnson Lane Corp., 500 US 20 (1991) arb in discrimination claim

- AT&T Mobility LLC v. Concepcion, 563 U.S. 333 (2011)A class action waivers

- American Express Co. v. Italian Colors Restaurant, 570 US 228 (2013)

There have been some proposals to fix this - a step in the right direction. Unfortunately, none have passed yet.

https://www.congress.gov/bill/115th-congress/house-bill/1374

https://www.congress.gov/bill/115th-congress/senate-bill/259...

https://www.congress.gov/bill/115th-congress/senate-bill/537

https://www.congress.gov/bill/116th-congress/house-bill/1423

https://www.congress.gov/bill/116th-congress/senate-bill/610

https://www.congress.gov/bill/117th-congress/house-bill/963

Some other useful sources if you care about the details:

1. Glover, J. M. (2022). Mass Arbitration. Stanford Law Review, 74. https://review.law.stanford.edu/wp-content/uploads/sites/3/2...

2. Katherine V.W. Stone & Alexander J.S. Colvin. (2015). The arbitration epidemic: Mandatory arbitration deprives workers and consumers of their rights (Briefing Paper 414). Economic Policy Institute. https://www.epi.org/publication/the-arbitration-epidemic/

It is really a reflection of how broken the civil court process is in the US.