MODEL BILLS

Consumer and Employee Justice Enforcement Act (NCLC)

This is a series of related proposals by the National Consumer Law Center (NCLC) to push back against unjustifiable forced arbitration.

As NCLC explains: “Forced arbitration clauses are found in fine print in contracts for bank accounts, student loans, cell phones, employment, nursing homes and more. These clauses deprive people of their day in court when a company violates the law, forcing victims into a system that is often biased, secretive and lawless. Forced arbitration clauses often contain class action bans that prevent either a judge or an arbitrator from seeing or addressing the full extent of a company’s wrongdoing. Forced arbitration frequently completely blocks any relief and operates as a get-out-of-jail-free card.”

Eight provisions are contained in the model state Consumer and Employee Justice Enforcement Act, here. Two more are contained in an update, here.