Supreme Court Rules that an Ambiguous Agreement Cannot Be a Basis to Compel Class Arbitration

In Stolt-Nielsen S. A. v. Animal Feeds Int’l Corp., the Supreme Court held in 2010 that a court may not compel arbitration on a class-wide basis when an agreement is “silent” on the availability of class arbitration.  The court recognized in Stolt and later cases that  class arbitration fundamentally changes the nature of the “traditional…

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Supposed Rejection of Arbitration Clause is Rejected

A clever debtor was nevertheless unsuccessful in trying to use the Bankruptcy Code to escape a well-drafted arbitration clause contained in a credit card agreement.  In Mines v. Galaxy Int;l Purchasing, Mines filed a putative class action contending that Galaxy violated Section 1692g(a)(2) of the FDCPA by failing to identify the current owner of his…

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California Supreme Court Continues to Resist Arbitration

On April 6, 2017, the California Supreme Court invalidated a contractual arbitration provision on the basis that California state law prohibits enforcement of arbitration agreements that would bar claims for public injunctive relief.  Its decision – California’s latest in a series of decisions aimed toward invalidating  contractual arbitration provisions –appears inconsistent with the “national policy…

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