Consumer Arbitration Update

• Posted by Geoffrey G. Gussis on July 27th, 2005


• Filed in Litigation

Morrison and Foerster LLP reports on recent developments in consumer arbitration that may change the way your company uses standard form agreements:

"A case decided by the California Supreme Court may have marked the end of the use of arbitration as a means of dispute resolution for companies that do business with consumers using standard form contracts. Now, a company that uses consumer arbitration as a method of dispute resolution in California runs a significant risk that it may be forced to undertake classwide arbitration—something virtually no company has agreed to do, and something most are loathe to do without the protections afforded by a judicial proceeding."

Link: Morrison & Foerster LLP - United States - Consumer Arbitration Update (21/07/2005) from Mondaq (free registration required).