News & Analysis as of

Arbitration RICO

Arbitration is a widely-used method for settling disputes between parties. During arbitration, parties submit their dispute to an impartial third person or party, usually chosen by the parties. Typically, parties... more +
Arbitration is a widely-used method for settling disputes between parties. During arbitration, parties submit their dispute to an impartial third person or party, usually chosen by the parties. Typically, parties to arbitration agree in advance to be bound by the arbitrator's decision. Arbitration is an alternative to litigation, but it shares many of the familiar features of litigation. Namely, parties to arbitration hold hearings before neutral decision-makers, present evidence and argue the merits of their position. Parties often choose arbitration due to its perceived advantages over litigation. Those perceived advantages include greater efficiency and flexibility, and lower costs. less -
Ballard Spahr LLP

Ninth Circuit: Arbitration clause prevails in “true lender” challenge against OppFi

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In a recent unpublished memorandum opinion in a putative class action, Carpenter et al. v. Opportunity Financial, LLC, the U.S. Court of Appeals for the Ninth Circuit upheld an arbitration clause in an agreement governing...more

Skadden, Arps, Slate, Meagher & Flom LLP

Latin America Dispute Resolution Update – The Latest Developments in Cross-Border Disputes Related to the US and Latin America

US Case Law Update - The U.S. Supreme Court and appellate courts have issued several recent decisions on important topics related to arbitration and the ability to enforce awards and judgments in the United States....more

Morris James LLP

The Supreme Court Finds Foreign Award Creditor Can Bring Claims under RICO to Enforce Award

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On June 22, 2023, the Supreme Court issued a 6–3 opinion in Yegiazaryan v. Smagin, holding that a foreign award creditor may bring claims under the Racketeer Influenced and Corrupt Organizations Act (“RICO”) related to the...more

Ballard Spahr LLP

“True lender” class actions against OppFi filed in multiple states

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In January 2023, a federal district court in Texas dismissed Michael v. Opportunity Financial, LLC, a putative class action filed in June 2022 claiming that fintech Opportunity Financial, LLC (OppFi), not its out-of-state,...more

Miller Canfield

U.S. Supreme Court Confirms that Foreign Companies Can Use a Powerful Tool to Enforce International Arbitration Awards

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The U.S. Supreme Court recently confirmed that foreign companies looking to enforce international arbitration awards have a powerful tool at their disposal: a U.S. statute targeting organized criminal activity. In Yegiazaryan...more

Bradley Arant Boult Cummings LLP

Don’t Hide the Money: Supreme Court Allows Civil Racketeering Claim to Proceed in Foreign Arbitration Context

If you’ve ever seen the popular film Goodfellas, you might have heard of the infamous Racketeer Influenced and Corrupt Organizations Act. It’s usually referred to by its acronym, “RICO,” and was designed to punish a laundry...more

Foley & Lardner LLP

Foreign Holders of Arbitral Awards May Add a RICO Claim to Their Enforcement Arsenal

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On June 22, 2023, in a 6–3 decision authored by Justice Sotomayor, the United States Supreme Court held that a foreign national-holder of a foreign arbitration award, which was recognized in the United States, can assert a...more

Snell & Wilmer

RICO Statute May Be Used To Enforce Arbitration Awards by Foreign Nationals Says U.S. Supreme Court

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On June 22, 2023, the U.S. Supreme Court ruled that the U.S. Racketeer Influenced and Corrupt Organizations Act, commonly known as the RICO statute, may be used to enforce a foreign arbitration award. The Court’s opinion in...more

Jenner & Block

Enforcing a Foreign Arbitration Award against a Foreign Party under RICO

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On April 25, 2023, the U.S. Supreme Court heard argument on whether a foreign plaintiff can state a civil claim under the Racketeer Influenced and Corrupt Organizations Act (“RICO”) against a foreign defendant based on...more

Rosenberg Martin Greenberg LLP

United States Court of Appeals for the Fourth Circuit Refuses to Enforce Arbitration and Choice of Law Provisions Because of...

Most of us have heard the expression “Pigs get fat, hogs get slaughtered.”  The United States Court of Appeals for the Fourth Circuit did not slaughter the officials of the lenders in its November 16, 2021 opinion in Hengle...more

Proskauer - Minding Your Business

Ninth Circuit Splits From the Second, Third and Fourth Circuits in “Brain Twister” Arbitration Case

Arbitration provisions are common features of commercial agreements.  Arbitration is often touted as a cost-effective alternative to litigation that provides contract parties the freedom to decide everything from what law the...more

Alston & Bird

Class Action & MDL Roundup – Fall 2020

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Welcome to the fall edition of the Class Action & MDL Roundup, covering significant decisions and settlements from the third quarter of 2020. In this edition, cosmetics get reused, garbage stinks to high heaven (at least...more

Carlton Fields

Third Circuit Upholds Pennsylvania Federal Court’s Finding That an Arbitration Agreement Is Unenforceable Where It Limits...

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In Williams v. Medley Opportunity Fund II, LP, plaintiffs Christine Williams and Michael Stermel obtained payday loans from American Web Loan, Inc. (AWL), an online entity owned by the Otoe-Missouria Tribe of Indians. The...more

Carlton Fields

Third Circuit Concludes Arbitration Agreement Is Unenforceable Under the Prospective Waiver Doctrine

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The Third Circuit Court of Appeals has refused to enforce an arbitration agreement because it impermissibly limited claims to those available under tribal law at the expense of federal statutory claims. The court also...more

Ballard Spahr LLP

Small business borrowers bring lawsuit alleging lender engaged in “rent-a-charter” scheme to make usurious loans

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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

BakerHostetler

Tenth Circuit Refers Au Pairs’ Class Claims to Arbitration

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“Well, They Gave Me the Agreement in My Own Language, but I Still Didn’t Understand the English Version” doesn’t work. The Federal Arbitration Act will turn 100 in the next few years, but despite more than nine decades of...more

Cozen O'Connor

Notice of Appeal - October 2018

Cozen O'Connor on

Precedential Opinions of Note - Third Circuit Affirms Constitutionality of New Jersey’s Non-Monetary Bail Reform - Holland v. Rosen (July 9, 2018), No. 17-3104 http://www2.ca3.uscourts.gov/opinarch/173104p.pdf Unanimous...more

Orrick, Herrington & Sutcliffe LLP

The World in U.S. Courts - Winter 2018

French Bank Whose Transactions Benefitted Sudan Generally, But Were Not Otherwise Related To The Commission Of Terrorist Acts Supported By Sudan, Could Not Have Violated ATA And ATS....more

Orrick, Herrington & Sutcliffe LLP

The World In U.S. Courts - Summer 2017

Bolivarian Republic of Venezuela v. Helmerich & Payne International Drilling Co., US Supreme Court, May 1, 2007 - Plaintiff Helmerich & Payne (H&P), a supplier of drilling equipment, sued Venezuela to obtain compensation...more

Perkins Coie

Takeaways From TRANSACT: Payments Industry Legal and Regulatory Trends

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Earlier this month, the Electronic Transactions Association (ETA) hosted its annual TRANSACT conference to connect and educate the various branches of the payments industry. Industry leaders spoke on technology, security,...more

Orrick, Herrington & Sutcliffe LLP

Class Action Against Lending Club and WebBank Headed to Defeat

On Monday, a federal district court in the Southern District of New York granted a motion to compel arbitration in Bethune v. Lending Club Corporation, et al., a closely watched putative class action raising important issues...more

Carlton Fields

Ninth Circuit Affirms Denial Of Motion To Compel Arbitration For Lack Of Federal Jurisdiction

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The Ninth Circuit affirmed a district court’s dismissal of a plaintiff’s RICO claim, and thus found the district court lacked independent federal jurisdiction to compel arbitration of the dispute under the Federal Arbitration...more

Carlton Fields

Ninth Circuit Allows Racketeering Claim To Proceed Following Arbitration

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Earlier this month, the U.S. Court of Appeals for the Ninth Circuit reversed summary judgment in favor of defendants who faced a RICO suit following resolution of arbitration with the plaintiffs. The case involved a dispute...more

Carlton Fields

Eighth Circuit Upholds Arbitration Agreement In Absence Of Actual Proof Of Unconscionability Due To Cost

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The Eighth Circuit affirmed a decision by the U.S. District Court for the Eastern District of Missouri which rejected the contention that an arbitration agreement was unconscionable, and unenforceable under the Federal...more

Burr & Forman

Dodd-Frank News: April 2015: Dodd-Frank Wall Street Reform and Consumer Protection Act Update

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The Dodd-Frank Wall Street Reform and Consumer Protection Act was enacted as a measure to promote financial stability and protection for consumers through increased regulation of nearly every aspect of the consumer finance...more

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