Investigation Exposes “Forced Arbitration” in Consumer Contracts
November 6th, 2015 |
A lot of consumers who think a particular company has harmed them find that they signed away their right to sue without even knowing it.
An investigative report in The New York Times says the fine print in many contracts, including for credit cards, cellphones and nursing home care, forces any disputes into arbitration.
According to Tobi Millrood, an attorney and member of the American Association of Justice, the arbitrators are chosen by the corporation, they don’t have to follow the law and their decisions are almost impossible to appeal.
“And they’re giving a free pass to corporations to break the law with no accountability and leave people with no opportunity to be made financially whole,” he maintains.
Many so-called forced arbitration clauses also take away the right to file class action lawsuits.