Arbitration At Issue In Key California High Court Cases

The nation’s largest state is being watched closely as it tackles on of theĀ largest class-action issues: arbitration. In recent years, large companiesĀ have been able to shield themselves from a variety of lawsuits by havingĀ customers and vendors agree to settle differences outside the courts, whichĀ are seen as being much more favorable to plaintiffs.

Now the Recorder offers an excellent overview of the issue nationally andĀ notes that “… in California, plaintiffs lawyers find a measure of hope inĀ the push and pull between the pro-arbitration U.S. Supreme Court and theĀ California Supreme Court, which takes a more skeptical view. Earlier thisĀ month the state Supreme Court agreed to review in McGill v. Citibank whetherĀ consumers seeking injunctive relief under California law can be forced intoĀ arbitration. In May the justices will hear arguments in Sanchez v. ValenciaĀ Holding, and potentially lay out new grounds by which courts can rejectĀ unfair or one-sided arbitration agreements.”

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