Over at Creditcards.com — a website that helps people pick (you guessed it) credit cards — there is an article warning consumers about binding mandatory arbitration. They highlight the dangers of forced arbitration and its differences from the civil justice system.
One of the most alarming is that unlike court judges, arbitrators do not have to obey the rule of law. They can ignore key evidence and flout the law because their decisions are usually secret (unless both parties agree to make them public) and are rarely appealable to a real court. It’s no surprise then that Public Citizen’s report, The Arbitration Trap, uncovered that consumers lose 94 percent of the time in arbitrations in California.
Want to avoid forced arbitration? Your only choices are to get an AARP card (if you happen to be a senior citizen) or join one of the credit unions that doesn’t require it.
If you get trapped in arbitration, read their tips to help keep things fair.