Spotlight: What is a Forced Arbitration Clause?

Monday, April 4, 2016

This is a clause buried in the fine print of most credit card, cell phone, online "terms of use" agreements, nursing home admission forms and many other everyday contracts, including employment. It means that if the company cheats, defrauds, discriminates against, physically injuries or otherwise harms you, you cannot sue the company in court or have a jury trial. Instead, you are forced to resolve your dispute is a private, secretive, rigged arbitration system controlled by the company. You may have to pay for the arbitrator. And there is no right to appeal.

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