Archive for November, 2015

Arbitration – A privatization of the Justice System (Part 2)

By admin

Thursday, November 12th, 2015

In their second article in the series the New York Times writes about arbitration as a ‘Privatization of the Justice System’. Through real-life accounts and interviews they express fear that over the last 10 years thousands of businesses across the country — from big corporations to storefront shops — have used arbitration to create an alternate system of justice.

The change has been swift and virtually unnoticed, even though it has meant that tens of millions of Americans have lost a fundamental right: their day in court. “This amounts to the whole-scale privatization of the justice system,” said Myriam Gilles, a law professor at the Benjamin N. Cardozo School of Law. “Americans are actively being deprived of their rights.”

For more information a link to the complete New York Times’ article is listed below:

Forced Arbitration

By admin

Wednesday, November 4th, 2015

Forced arbitration is a clause in a contract that requires parties to resolve their disputes without a trial; but instead outside the courts where an arbitrator decides the rules, weighs the facts and arguments of both parties, and then decides the outcome. The clauses, typically written by the corporation, often give them the right to choose the arbitrator and the arbitrator’s decision is almost impossible to appeal.

Many feel forced arbitration is a corporate bullying tactic designed to kick people out of court and eliminate their right to seek justice. It’s a system set up by corporations designed to favor corporations. Businesses are using “the fine print” to take away the rights of consumers, patients, and workers. Unfortunately, forced arbitration has infiltrated nearly all aspects of American life from when they use credit cards, talk on their cell phones, visit websites, start a new job, and even admit a loved one into a nursing home

Congress recognized that forced arbitration was among the leading threats to consumer protection when it created the Consumer Financial Protection Bureau (CFPB) in 2010. Consumer advocates have long said that mandatory arbitration clauses deny clients their rights to a fair hearing.

The New York Times is publishing a series of in-depth articles investigating the corporate bullying tactic of forced arbitration. Their investigation was based on thousands of court records and interviews with hundreds of lawyers, corporate executives, judges, arbitrators, and plaintiffs in 35 states.

Below is a link to the first of their three part series on “Arbitration Everywhere, Stacking the Deck of Justice”