Pre-Dispute Jury Waivers are Enforceable in Tennessee

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Lenders have traditionally included jury waiver provisions as a standard provision in their loan documents. Over the last few years, a number of states have held that borrowers cannot waive their constitutional right to a jury trial prior to litigation, essentially negating the effect of any waiver provision included in the loan documents. However, the Tennessee Court of Appeals recently determined that pre-dispute jury waivers are enforceable in Tennessee and provided guidance as to the necessary requirements for making these provisions enforceable.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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