The recent settlements in the California Uber litigation demonstrate the perils of mandatory arbitration for our entire framework for regulating employment. Unfortunately, media coverage of the Uber controversies has not highlighted the damage that arbitration agreements have wrought to the individual workers involved and to our employment laws generally. But it is now more clear than ever that …
Banks keep saying over and over that arbitration proceedings, as opposed to class-action lawsuits, are the best way for consumers to handle disputes. Yet faced with the prospect of no longer being able to deny consumers the right to sue them, the banking industry is expected to take the deliciously ironic step of suing the federal government. At issue is a proposed rule from the Consumer …
While Frontier’s bungled Texas, California, and Florida acquisitions are getting lots of press, the company continues to face a lawsuit from West Virginia customers (also acquired from Verizon) who say the company consistently fails to deliver advertised speeds. Despite Frontier’s best attempt to force angry customers into binding arbitration, last December a Judge let the class action lawsuit …
A new federal rule that would give bank customers greater ability to participate in class-action lawsuits drew criticism from the industry, but local community banks aren’t much worried. Small bank officials say their scale and more folksy approach keeps them out of court more effectively than crimping the rights of their customers in small print. The Consumer Financial Protection Bureau wants …
This January, we reported on a proposed class action sweepstakes lawsuit filed on behalf of all runners who entered the New York City Marathon’s (“Marathon”) general entry drawing (“Drawing”) between 2010 and 2015. Last month, two of the named plaintiffs voluntarily withdrew their claims against the Marathon’s organizer and operator – New York Road Runners, Inc. (“Road Runners”) – after Road …
“DIRECTV took advantage of the civil justice system when it suited the company, but then wants to kick consumers out of the courts. It can’t have it both ways,” said Harvey Rosenfield. “This is an issue that the US Supreme Court did not decide, but it’s a crucial point.
If government–or at least government regulators, apparatchiks and other place-holders–get their way, it’s going to be a lot easier to sue your bank. Just what this country needs. …
CFPB Proposal Would Effectively Eliminate Most Pre-Dispute Consumer Arbitrations To no one’s surprise, the Consumer Financial Protection Bureau (CFPB) proposed rules on May 5, 2016 that will effectively, if promulgated as expected, eliminate most pre-dispute arbitrations arising out of the sale of consumer financial products. As detailed below, the proposed rules would, among other things: (1) …
The Consumer Financial Protection Bureau is seeking comment on a new proposed regulation that would prohibit mandatory arbitration clauses that deny groups of consumers their day in court, putting into motion discussions that started toward the end of last year. Arbitration clauses generally require that if there’s a dispute, parties must first try to resolve the issue through an arbitration …
A new proposal by the nation’s chief consumer watchdog could help government regulators and prosecutors stop big banks’ dubious practices more quickly. The Consumer Financial Protection Bureau on Thursday suggested a ban on clauses tucked into contracts for credit cards, student loans and other financial products that prohibit consumers from joining together to sue financial companies for …