Congress Urged To Ban Forced Predispute Arbitration

Law360, New York (September 15, 2009, 6:01 PM EDT) -- Legal experts told a U.S. House of Representatives subcommittee Tuesday that mandatory predispute arbitration clauses common in credit card, employment and franchise contracts have created a troubling shadow legal system where large companies too often enjoy unfair advantages.

Witnesses from consumer and employment legal groups railed against so-called forced arbitration clauses — which compel signers to pursue any future legal claims through binding arbitration — and asked members of the House Judiciary Committee's subcommittee on commercial and administrative law to consider legislative fixes that would ban...
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