WASHINGTON, D.C., November 3, 2021 – Today the House Judiciary Committee voted to advance the Forced Arbitration Injustice Repeal (FAIR) Act. The FAIR Act would end the practice of forced arbitration for consumers, workers, and small businesses, ensuring people who have been harmed by corporations can hold those corporations publicly accountable.
In forced arbitration, there is no judge or jury, no right to appeal, and no rules for procedure, discovery, or evidence. Companies often choose the arbitrators who weigh complaints against them, giving them an even greater advantage over consumers and working people. It is a process designed by companies to protect companies — denying millions of Americans the justice they deserve under the law.
Workers and consumers are often forced to sign away their rights without even realizing it. Fine print forcing arbitration is often a condition of contracts to simply accept a job or use a product or service as intended. If workers or consumers are then subjected to sexual harassment, discrimination, wage theft, unsafe working conditions, fraud, abuse, or neglect, they have no fair path to justice. Forced arbitration automatically gives corporations a huge advantage when complaints are filed. Passing the FAIR Act will ensure that the laws Congress has passed can actually fulfill their purpose instead of being subverted by corporations’ craftily worded contracts.
Alliance for Justice President Rakim H.D. Brooks issued the following statement:
“Ending the practice of forced arbitration is long overdue. Millions of Americans have been denied justice because corporations have rigged the system against them. The FAIR Act will ensure forced arbitration can no longer be used to undermine the rights of workers and consumers. If we care about our loved ones not being harassed in the workplace or neglected in nursing homes, we need to end forced arbitration now so the law can protect us all as intended. The Supreme Court has unfortunately only helped powerful corporate interests circumvent the law. We desperately need the FAIR Act to pass with the broad, bipartisan support it so obviously deserves.”
Click here to learn more about AFJ’s work opposing forced arbitration.