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User:InvadingInvader/Mass arbitration

From Wikipedia, the free encyclopedia

Mass arbitration, also known as batch arbitration and bellwether arbitration, is a legal strategy and a form of representative action where multiple plaintiffs and their lawyers file large and near-simultaneous amounts of demands for arbitration involving similar disputes between the defendant and each plaintiff, normally used by legal representatives of consumers and employees who are subject to an arbitration clause and a class action waiver.[1]

Limitations

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Mass arbitrations, per the Court of Appeals for the Seventh Circuit, are still subject to standard burdens of proof. A 2023 mass arbitration action against Samsung and its consumer electronics division was filed by consumers, and initially allowed by the Northern District of Illinois. Upon appeal by Samsung, though, the 7th Circuit ruled that the plaintiffs had failed to sufficiently prove that they were bound to an arbitration agreement with Samsung, dismissing the case in a win for the Korean conglomerate and allowing it to avoid paying millions in fees to the American Arbitration Association.[2]

References

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  1. ^ "What Is Mass Arbitration?". www.klgates.com. Retrieved 2024-03-20.
  2. ^ Scarcella, Mike (2024-07-03). "Samsung defeats consumers' mass arbitration demand in US appeals court". Reuters. Retrieved 2024-07-25.