Readers React: Pushing back against forced arbitration

To the editor: The bill by Sens. Al Franken (D-Minn.) and Patrick J. Leahy (D-Vt.) outlawing mandatory arbitration is long overdue. That system prevents fair disposition of consumer disputes. No wonder the U.S. Chamber of Commerce is against it. (“Government may soon begin putting an end to forced arbitration clauses,” Feb. 26)

One example should suffice to explain why. The parties select the arbitrator from a relatively small pool of lawyers. They rely on repeat business. The businesses use them repeatedly. The consumer sees them once. If they want more cases, which party are they going to favor?

Don’t think this problem doesn’t concern you. You may be unaware that you have already signed such an agreement with your credit card company, your Realtor or even your doctor.

Next time, just draw a line through the provision. If the company or person asking you to sign the contract won’t accept that, go to someone else.

Morton Winkel, Palm Desert

The writer is a retired attorney, arbitrator and judge pro tem.

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To the editor: Kudos to the Consumer Financial Protection Bureau for trying to correct the duplicitous business practice of forced arbitration. When some businesses cannot apply arbitration directly, they attempt to implement it through trickery.

In 2013, I was mailed a package of forms from Wells Fargo directing me to submit new signatures for my accounts to “protect” them from fraud and help the bank fight terrorism. Buried in the fine print was a clause stating that by signing the document, I agreed to arbitration and not a jury or judge trial in any dispute with the bank.

Needless to say, I signed nothing. What a travesty.

Gordon Osborne, Woodland Hills

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