Arbitration At Issue In Key California High Court Cases

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

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

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