(afagen)

Bill Aims To Restore Consumers’ Legal Rights Stripped Away By Supreme Court Rulings

In recent years, a narrow majority of the U.S. Supreme Court has repeatedly sided against consumers’ access to the justice system, concluding that a 90-year-old law gives companies the authority to effectively skirt the legal system by preempting customers’ lawsuits. That’s why some legislators have decided it’s time to change that law. [More]

Debt Collectors Can Sue You, But Court Might Not Let You Sue Debt Collector Back

Debt Collectors Can Sue You, But Court Might Not Let You Sue Debt Collector Back

A new report claims that a growing number of debt collectors are trying to exploit a legal loophole that allows them to bring potentially frivolous lawsuits against alleged debtors, but bars those defendants from bringing their own legal action against the debt collector. [More]

Strippers Say They Were Forced To Give Up Their Right To Sue Club

Just one of 18 clauses in the arbitration agreement that some dancers say they were made to sign by the Atlanta club.

If your employer does something illegal, you have the right to sue them in a court of law. But a group of strip club dancers in Atlanta say they were forced to sign away that right — or lose their jobs. [More]

Supreme Court Once Again Shows Its Disdain For Consumer Rights

Supreme Court Once Again Shows Its Disdain For Consumer Rights

For the third time in five years, the U.S. Supreme Court had a chance to reverse a terrifying trend in consumer rights by doing something, anything, to rein in “forced arbitration” clauses that strip consumers of their legal rights and effectively give companies a license to steal. And for the third time in five years, the SCOTUS majority showed its interests lie in protecting the coffers of big business rather than Americans’ access to the legal system. [More]

Groups Call On AmEx, Chase, Citi, Toyota, Others To Stop Forcing Customers To Sign Away Their Legal Rights

Groups Call On AmEx, Chase, Citi, Toyota, Others To Stop Forcing Customers To Sign Away Their Legal Rights

Once upon a time, if a company wronged a customer — not just by screwing up an order or having poor customer service, but by actually breaking the law — that customer could file a lawsuit and try to hold the company accountable. And if the company wronged lots of customers in the same way, they could join together in a class action. Now, thanks to the U.S. Supreme Court, companies can get away with breaking the law by simply including a few handy lines of text in their customer agreements and contracts. But just because the company can use this “get out of jail free” card, doesn’t mean it should. [More]

Banks Urge Congress To Continue Renewing Their “Get Out Of Jail Free” Cards

Banks Urge Congress To Continue Renewing Their “Get Out Of Jail Free” Cards

Nestled deep in the text of the lengthy contracts for most credit cards and bank accounts are little clauses that not only prohibit harmed customers from suing their bank or card issuer, but also prevents them from banding together with similarly injured consumers to argue their dispute as a group. In October, the Consumer Financial Protection Bureau announced it would consider limits on these clauses, but now the banking industry is trying to use its leverage with D.C. lawmakers to shut down that process. [More]

12 Things We Learned From The New York Times’ Investigative Report On Arbitration

12 Things We Learned From The New York Times’ Investigative Report On Arbitration

Consumerist’s first post on the subject of arbitration, back in 2007, described a dispute that was ultimately resolved in the consumer’s favor. Since then, we’ve been against the practice, pointing out when popular companies change their terms of service to add arbitration clauses. It doesn’t matter, though, because arbitration can save companies so much money that they don’t especially care what we think. Sometimes. [More]

CFPB To Consider Rules That Would Revoke Banks’ “License To Steal”

(Van Swearingen)

The lengthy, often complicated terms of use for more than half of all credit cards — and nearly half of all federally insured bank deposits — include clauses that force customers into arbitration, taking away their right to sue these companies in a court of law and usually blocking them from joining together in a class action. Critics argue that these forced-arbitration clauses allow banks and other businesses to break the law with impunity. Heeding the call of lawmakers and consumer advocates, the federal Consumer Financial Protection Bureau has decided to consider rules that would ban this practice among financial institutions. [More]

Dish Taking Away Users’ Right To Sue Company In Court. Here’s How To Opt Out

Dish Taking Away Users’ Right To Sue Company In Court. Here’s How To Opt Out

Over the weekend, a number of Consumerist readers wrote to us with the bad news that, like a growing number of companies, Dish Network is updating its terms of use to strip customers of their right to dispute legal claims in a court of law. There is a way for Dish subscribers to opt out of this restriction — but only if they do it right away. [More]

(Ryan Glenn)

FTC Affirms Consumers’ Right To Go To Court Over Warranty Disputes

In just the last four years, the U.S. Supreme Court has twice ruled against consumers’ rights and in favor of companies that use fine print in their contracts to block wronged customers from suing in court and from joining together as a class action. In spite of these rulings, the Federal Trade Commission recently upheld rules that give warranty buyers the right to a day in court, even if they have to go through arbitration first. [More]

While fewer than 8% of all banks put arbitration clauses on deposit accounts, those few banks account for nearly half of all insured deposits in the U.S. (source: CFPB)

In Wake Of Arbitration Report, Consumer Advocates Ask CFPB To Revoke Banks’ “License To Steal”

This morning, the Consumer Financial Protection Bureau released its final report on forced arbitration, showing how banks and credit card companies use contractual clauses to short-circuit class-action lawsuits from their customers. Now that the Bureau has done its research, consumer advocates are calling on regulators to use their authority to end the practice. [More]

Banks & Credit Card Companies Saving Millions By Taking Away Your Right To Sue

Adam Fagen

Tens of millions of American consumers have clauses in their credit card, checking account, student loan, and wireless phone contracts that take away their rights to sue those companies in a court of law, and more than 93% of these people have no idea they’ve had this right taken away from them. The companies involved are presumably quite happy about this lack of awareness, as it results in millions of dollars in savings that aren’t being passed on to you. [More]

(photo: Other98.org)

Marching Band Delivers Petition To Citi Asking Banks To “Revoke License To Steal”

In a handful of recent decisions, the U.S. Supreme Court has affirmed the right of businesses to effectively break the law by putting a few carefully worded sentences into their contracts and user agreements. But just because you can add these clauses doesn’t mean you have to do so, which is why pro-consumer advocacy groups gathered more than 100,000 signatures on a petition that was delivered, with a little bit of music, to Citigroup HQ in Manhattan this morning. [More]

(Colin)

Petition Demands Big Banks Give Consumers Back Our Right To Sue

Since 2011, when the U.S. Supreme Court affirmed that it was perfectly okay for companies to take away a consumer’s right to sue — and their ability to join other wronged consumers in a class action — by inserting a paragraph or two of text deep in lengthy, unchangeable contracts, the rush has been on for almost every major retailer, wireless provider, cable company, and financial institution to slap these mandatory binding arbitration clauses into their customer agreements. Now one petition is gathering signatures, calling on the nation’s largest banks to put an end to the practice. [More]

Why These 5 Pro-Consumer Bills Won’t Become Law In 2014

Why These 5 Pro-Consumer Bills Won’t Become Law In 2014

Back in January, at the dawn of the year, we gazed into our not-quite-crystal ball and took a look at some pieces of pending legislation that could help consumers this year. Now, in July, we’re at the halfway point of the year, and so it’s a good time to take a look at those bills and see how the wheels of government have turned in 2014. [More]

General Mills Thinks You’re Stupid, But Decides To Not Take Customers’ Legal Rights Away After All

(Paxton Holley)

While all sorts of big-name financial, tech, e-commerce, and telecom companies have been trying to take away consumers’ right to sue by inserting forced-arbitration clauses in their contracts and terms of service, it seemed ridiculous to think that the makers of cereal would resort to such deviousness, or how they would even be able to do it. But last week, General Mills tried, adding language to its website that stripped certain customers of their access to legal redress against the company. Realizing that maybe this might tick off an awful lot of people, the company has backed off this policy change. [More]

(AJ Brujstein)

General Mills’ New Policy: If You Engage With Us Online, You Can Never Sue The Company

Companies want customers to engage with them online as if they’re just another pal on Facebook or Twitter, one that can offer downloadable coupons and promote contests with attractive prizes. But in new language recently added to General Mills’ website, consumers who interact with the company online will be agreeing to give up the right to sue the company in the future. [More]

9 Federal Laws That Companies Can Skirt By Using Forced Arbitration

9 Federal Laws That Companies Can Skirt By Using Forced Arbitration

There are numerous federal laws that explicitly give wronged consumers the right to file a lawsuit against the company that harmed them, but all those statutory rights are being taken away by companies that insert arbitration clauses into their terms of service. [More]