Minneapolis partner and litigator Liz Kramer is quoted in a recent story in Bloomberg BNA on mandatory arbitration clauses and bans on class action lawsuits in service contracts and website agreements.
Consumers and employees often agree to mandatory arbitration every time they sign a contract or agree to the terms of service on websites. By doing so, they forfeit their right to later bring class action claims.
The political mood toward these mandatory arbitration clauses is changing, some attorneys say. They cite new rules under consideration at the Consumer Financial Protection Bureau to ban such clauses in consumer contracts and the changing makeup of the U.S. Supreme Court as evidence. Defense attorneys say these claims are overblown and, if anything, plaintiffs' attorneys would prefer more class actions because they lead to larger attorneys' fees.
Liz is quoted throughout the story. She said that any change in mandatory arbitration clauses will ultimately involve altering the Federal Arbitration Act.
"It's going to be hard to get what is a very technical legal issue to most people to be a priority for Congress," Liz says.
Liz represents both plaintiffs and defendants in a variety of construction and complex business disputes. She is a frequent blogger and lecturer on arbitration topics in Minnesota and across the U.S. She writes about the most recent developments in the law at arbitrationnation.com.
Read the full story: "Political Mood is Shifting on Arbitration: Will the Courts Come Along Too?"