Arbitration is meant to be an alternate to litigation. Yet arbitration is itself the subject of much litigation over who must arbitrate, what must be arbitrated, whether and how the arbitration should proceed, and the deference courts must show to arbitration awards. This blog is intended to be a resource for litigators, in-house counsel, arbitrators and anyone else who wants to stay on top of the many thorny issues that arise under the Federal Arbitration Act. Our Bloggers →

Latest Posts

Congress Quashes CFPB Arbitration Rule: What Next?

By Liz Kramer | October 25 2017

Year In Review Pencils down.  (Is the modern equivalent "cursors down"?)  All the attorneys who were drafting new form consumer agreements to comply with the CFPB rule prohibiting class action waivers can now trash those documents.  Pursuant to the Congressional Review Act, the Senate voted 51-50 last night (with the VP as...

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CFPB Shows Grit; Issues Rule Curtailing Financial Arbitration

By Liz Kramer | July 10 2017

Class Arbitration, Year In Review The CFPB today issued a consumer-friendly rule that is likely to significantly curtail the use of arbitration in consumer financial agreements.  That rule has two major components.  First, it prohibits institutions from relying on arbitration clauses to avoid class actions.  And second, it mandates the...

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Hold Onto Your Hats: CFPB Proposed Rules Will Lead to Lots of Class Action Litigation

By Liz Kramer | May 5 2016

Class Arbitration, Year In Review Today the Consumer Financial Protection Bureau proposed the rules that it previewed last fall, following up on its Arbitration Study. Those rules would essentially ban class action waivers from consumer financial agreements, as well as requiring arbitral institutions to provide data on consumer financial disputes to...

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CFPB Likely To Require Access To Class Actions And Data On Individual Arbitrations

By Liz Kramer | October 23 2015

Class Arbitration, Litigation vs. Arbitration Richard Cordray, Director of the Consumer Financial Protection Bureau, has positioned himself as the Boogeyman that financial companies fear this Halloween season.  Earlier this month, the CFPB outlined the proposals under consideration for regulating arbitration in the consumer financial industry.  The proposals...

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Beyond the Headlines Part II: What The New CFPB Report Teaches Us About Arbitration v. Litigation

By Liz Kramer | March 12 2015

Class Arbitration, Litigation vs. Arbitration In my last post, I shared some of the highlights from the first half of the new CFPB Arbitration Study.  This post covers the second half of the report, with juicy information gleaned from CFPB's analysis of almost 2,000 actual consumer arbitrations and its comparison of those results to actual consumer court...

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Beyond the Headlines Part I: What The New CFPB Report Teaches Us About Arbitration Clauses

By Liz Kramer | March 11 2015

Arbitration Rules/Procedures, Litigation vs. Arbitration The Consumer Financial Protection Bureau released an “Arbitration Study” exceeding 700 pages to Congress this week.  You have likely heard the headlines – most commentators assume that the CFPB will use the study to support an effort to restrict or regulate the use of “pre-dispute” arbitration in financial...

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CFPB’s Preliminary Report: Financial Consumers Can Only Avoid Arbitration By Using A Credit Union

By Liz Kramer | January 7 2014

Arbitration Rules/Procedures, Litigation vs. Arbitration Say it's twenty degrees below zero outside, and you'd already seen boiling water turn into "snow" immediately upon making contact with the air, what would you do next?  Assuming you were all caught up on your Words With Friends games, you would read the 168-page initial report of the Consumer Finance Protection...

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The Ten Arbitration Trends Of 2017

By Liz Kramer | December 12 2017

Year In Review 2017 was a big year in arbitration law.  We went from a country that seemed on the verge of banning arbitration in most consumer and employee contracts to a country whose federal policy embraces arbitration in nearly every context.  From my vantage point, here are the ten top developments in the last twelve...

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The Arbitration Resistance May Look Like This… (Post #300)

By Liz Kramer | November 6 2017

Scope of Arbitration Agreement, Validity of Arbitration Agreement What happens when state courts disagree with SCOTUS's interpretation of the Federal Arbitration Act?  They resist, and they have a thousand different ways of doing so.  The Mississippi Supreme Court demonstrated one way to resist recently in Pedigo v. Robertson, Rent-A-Center, Inc., 2017 WL 4838243 (Miss. Oct. 26,...

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Courts Lose Jurisdiction To Vacate Arbitration Award After Three Months

By Liz Kramer | October 2 2017

Appealing Arbitration Decisions The Nebraska Supreme Court recently had the unenviable task of determining whether the three month time period that the FAA provides for vacating an arbitration award is a statute of limitation (subject to tolling) or is jurisdictional.  In Karo v. Nau Country Ins. Co., 2017 WL 4185426 (Neb. Sept. 22, 2017), it...

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