In a recent “open letter” to newly confirmed CFPB Director Rohit Chopra, Professor Jeff Sovern asks the agency not to forget about “arbitration” as it implements its regulatory agenda. He argues that “[p]re-dispute...more
In a recent guest post, Professor Mark Budnitz voiced support for Professor Jeff Sovern’s recent proposal that the CFPB issue a rule barring the use of pre-dispute arbitration agreements unless consumers opt in to them. He...more
Professor Jeff Sovern responded to our blog criticizing his proposal for a new CFPB arbitration rule by asserting that his proposed rule is not substantially the same as the prior CFPB rule that Congress vetoed and,...more
Professor Jeff Sovern recently proposed that the CFPB issue a supposedly “new” arbitration rule “that prevents companies from blocking consumers from suing in court unless consumers specifically opted in to the arbitration...more
For the second time in two years, the U.S. Supreme Court is being asked to decide whether the Federal Arbitration Act (FAA) preempts California law (the “McGill Rule”) which invalidates arbitration agreements that waive the...more
Consumer advocates often contend that Congress should prohibit arbitration agreements with class action waivers because servicemembers and other consumers need class actions to effectuate their statutory rights. However, a...more
A litigation phenomenon that has recently surged is the simultaneous filing of hundreds or even thousands of individual arbitration demands against the same company by the same law firm, requiring the company to pay the...more
Proposed legislation now working its way through the New Jersey Senate would eliminate the eligibility of postsecondary students and other individuals for State student assistance, training and employment services, including...more
On June 15, 2020, the U.S. Supreme Court granted certiorari in Henry Schein, Inc. v. Archer and White Sales, Inc. to decide a question that has divided the federal circuit courts and state supreme courts: “whether a provision...more
6/18/2020
/ Appeals ,
Arbitration ,
Arbitration Agreements ,
Arbitrators ,
Certiorari ,
Contract Terms ,
Exceptions ,
Federal Arbitration Act ,
Henry Schein Inc v Archer and White Sales Inc ,
Judicial Review ,
Motion to Compel ,
Question of Arbitrability ,
Remand ,
SCOTUS ,
Vacated ,
Wholly Groundless Doctrine
Briefing is now complete on the petitions for certiorari in the Blair v. Rent-A-Center appeals that could produce the next blockbuster U.S. Supreme Court arbitration decision. At issue is whether the Federal Arbitration Act...more
On March 26, the American Bankers Association and the Consumer Bankers Association, represented by Ballard Spahr, filed an amicus brief in support of petitions for certiorari asking the Supreme Court to review the Ninth...more
On January 17, 2020, the Ninth Circuit denied the defendants’ petitions for panel and en banc rehearing in the Blair v. Rent a Center appeals, setting the stage for possible U.S. Supreme Court review of the California Supreme...more
1/21/2020
/ Appeals ,
Arbitration ,
Arbitration Agreements ,
AT&T Mobility v Concepcion ,
Class Action ,
Class Action Arbitration Waivers ,
En Banc Review ,
Federal Arbitration Act ,
Injunctive Relief ,
Petition For Rehearing ,
Preemption ,
Public Policy ,
The McGill Rule
A group of small businesses and their individual owners have filed a putative class action lawsuit in a New York federal district court against online lender Kabbage, Inc. that alleges Kabbage engaged in a “rent-a-charter”...more
10/10/2019
/ Arbitration ,
Class Action Arbitration Waivers ,
Commercial Loans ,
Consumer Financial Products ,
Contract Terms ,
Federal Arbitration Act ,
Financial Services Industry ,
Financing ,
Loan Agreements ,
Loans ,
Mandatory Arbitration Clauses ,
Motion to Compel ,
Putative Class Actions ,
RICO ,
Small Business ,
Statutory Violations ,
UDAP ,
Unconscionable Contracts ,
Usury
The California Chamber of Commerce is encouraging its members to send letters to California Governor Gavin Newsom urging him to veto California SB 707, which was passed by the state’s Assembly and Senate and is currently...more
10/2/2019
/ Arbitration ,
Arbitration Agreements ,
Arbitration Fees ,
Chamber of Commerce ,
Data Breach ,
Employment Contract ,
Governor Newsom ,
Governor Vetoes ,
Legislative Agendas ,
Pending Legislation ,
State and Local Government
As we recently advised you , on September 9, 2019, the Ninth Circuit ordered the plaintiffs in the Blair v. Rent-A-Center appeals to respond to the defendants’ petitions for rehearing, which ask the court en banc to overturn...more
We recently posted a discussion concerning the petitions for rehearing filed in the Blair v. Rent-A-Center appeals pending in the Ninth Circuit which raise the issue of whether the Federal Arbitration Act preempts...more
The Supreme Court held last year in Epic Systems v. Lewis that mandatory arbitration agreements requiring employees to arbitrate claims against their employer on an individual—rather than on a class or collective—basis are...more
8/25/2019
/ Arbitration ,
Arbitration Agreements ,
Class Action ,
Class Action Arbitration Waivers ,
Collective Actions ,
Corporate Counsel ,
Epic Systems Corp v Lewis ,
Fair Labor Standards Act (FLSA) ,
Hiring & Firing ,
Minimum Wage ,
NLRA ,
NLRB ,
Unions ,
Wage and Hour
Last week, we published a Legal Alert discussing the petitions for rehearing filed in the Blair v. Rent-A-Center appeals which ask the Ninth Circuit en banc to overturn a panel decision holding that the Federal Arbitration...more
This alert follows on our previous report about the Ninth Circuit’s decision in Blair v. Rent-A-Center, Inc. and two companion cases holding that the Federal Arbitration Act (FAA) does not preempt the California Supreme...more
In response to the #MeToo movement, New York State has led the way in enacting legislation to expand employee rights to file and recover for sexual harassment claims. ...more
7/16/2019
/ #MeToo ,
Arbitration ,
Arbitration Agreements ,
Corporate Culture ,
Employer Liability Issues ,
Federal Arbitration Act ,
Harassment ,
Hostile Environment ,
Morgan Stanley ,
NYSHRL ,
Preemption ,
Regulatory Requirements ,
Sexual Harassment ,
State and Local Government ,
State Labor Laws
Earlier this year, we reported on the pendency of several Ninth Circuit appeals concerning the enforceability of consumer arbitration agreements with respect to claims for “public” injunctive relief. On June 28, 2019, in...more
Last week, the Ninth Circuit upheld the district court's grant of a motion to compel individual arbitration in a case that "tests the outer limits of what constitutes a 'reasonably conspicuous' provision" in an online...more
In yet another example of the strong federal policy favoring arbitration embodied in the Federal Arbitration Act (FAA), U.S. District Court Judge Joel Slomsky of the Eastern District of Pennsylvania granted employer FC...more
In an important ruling that further narrows the circumstances in which class arbitration will be permitted, the Supreme Court today held that under the Federal Arbitration Act (FAA)...more
Relying on the California Supreme Court's 2017 decision in McGill v. Citibank, class action plaintiffs increasingly have sought to circumvent class action waivers in arbitration agreements by filing lawsuits in California. ...more