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Public Justice Calls on Senate to End Forced Arbitration
Consumer advocacy group calls for passage of FAIR Act
In response to House passage of the FAIR Act — (Forced Arbitration Injustice Repeal), consumer group Public Justice is calling on the Senate to follow suit and take immediate action to protect consumers from forced arbitration clauses.
Public Justice Executive Director Paul Bland notes that forced arbitration clauses in contracts are ubiquitous:
Forced arbitration, however, is not just limited to the workplace. These clauses are also prevalent in consumer contracts, including “44 percent of checking account contracts, 53 percent of credit card contracts, 83 percent of prepaid credit card contracts, 98 percent of tuition agreements at for-profit colleges, and 99 percent of payday loan agreements.
Bland also notes a current application of forced arbitration involving a racial discrimination case at Tesla:
In fact, Tesla is currently fighting a class action racial discrimination case, arguing that it…
