Mandatory Arbitration for Customers but Not for Peers: A Study of Arbitration Clauses in Consumer and Non-Consumer Contracts

Eisenberg, Theodore, Miller, Geoffrey P., Sherwin, Emily, Judicature

Mandatory arbitration clauses have been in the spotlight recently, as consumer advocates have challenged dieir legitimacy. Popular consumer products such as cellular phone service, credit cards, and discount brokerage often come with fine print contracts in which the customer agrees to submit disputes to arbitration rather than to litigate in court. Typically, the customer also agrees not to participate in aggregate proceedings such as class actions, either in court or before an arbitrator. Another common contract provision makes arbitration clauses and class arbitration waivers non-severable, so that if an arbitrator authorizes claimants to aggregate dieir claims, they must instead …

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Publication information: Article title: Mandatory Arbitration for Customers but Not for Peers: A Study of Arbitration Clauses in Consumer and Non-Consumer Contracts. Contributors: Eisenberg, Theodore - Author, Miller, Geoffrey P. - Author, Sherwin, Emily - Author. Journal title: Judicature. Volume: 92. Issue: 3 Publication date: November/December 2008. Page number: 118+. © American Judicature Society Nov/Dec 2008. Provided by ProQuest LLC. All Rights Reserved.

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