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 right of consumers to seek public injunctive relief. This time, however, there are changed circumstances that increase the odds that the Court will grant review of this critically important arbitration issue.… Continue Reading
federal arbitration act
Plaintiffs Respond to Blair Rehearing Petitions
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 a panel decision holding that the Federal Arbitration Act (FAA) does not preempt the California Supreme Court’s McGill Rule.… Continue Reading
House Judiciary Subcommittee Hears Testimony on Arbitration Agreements
A subcommittee of the House Judiciary Committee recently held a hearing titled “Justice Denied: Forced Arbitration and the Erosion of our Legal System.” This hearing, which followed an April 2 hearing at which Alan Kaplinsky testified on “Arbitration in America” before the Senate Judiciary Committee, was held in conjunction with several legislative proposals regarding arbitration that are pending in the House of Representatives.… Continue Reading