Sen. Russell Feingold (D-WI) last week introduced S. 931, the Arbitration Fairness Act, a bill that bans binding (predispute) arbitration in business contracts with consumers. (Opening statement, text.) The bill came in with seven cosponsors.
Sen. Feingold and his cosponsors are also all sponsors of S. 560, the Employee Free Choice Act, a bill that mandates binding arbitration between business and outside unions that are trying to organize them.
The American Association for Justice, aka the trial lawyers’ trade association, has lobbied heavy to ban arbitration. Last week the AFL-CIO announced the AAJ’s support for the Employee Free Choice Act that mandates binding arbitration.
Mandate, ban, mandate, ban, mandate…The head spins.
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