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Legislation Banning Mandatory Arbitration Heads to Floor Vote

Sept. 10, 2019, 11:16 PM

Legislation that would prohibit mandatory arbitration agreements in employment, consumer, and other contracts advanced out of the House Judiciary Committee Sept. 10, with a vote of 22 to 14. It now heads to the House floor.

The Forced Arbitration Injustice Repeal Act (H.R. 1423, S. 610) would invalidate a predispute arbitration agreement if it requires arbitration of an employment, consumer, antitrust, or civil rights dispute. The proposal was introduced in February by Rep. Hank Johnson (D-Ga.).

Mandatory arbitration clauses are common in many contracts and generally compel employees or customers to waive their right to sue in ...