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Class Actions Pose Problems For Arbitration

Law360 (June 27, 2006, 12:00 AM EDT) -- More U.S. companies are slipping arbitration clauses into their business contracts, but the putative class action against shipping company Stolt-Nielsen S.A. challenges the common assumption that arbitration is an appropriate and less costly venue for resolving antitrust disputes.

Some attorneys think that an alternative dispute resolution body cannot quite meet the demands of a major class action with multiple jurisdictions and international parties.

“We’d rather be in court. Antitrust plaintiffs are best served in court,” said Bernard Persky, one of the lead counsel for Animal Feeds...
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