When a corporation includes a BMA requirement in its contracts, it
means your dispute must be decided by a private legal system. Because
BMA clauses are "binding," you must abide by the decision and have no
right to appeal.
You cannot walk your case through the doors of the judicial system because you have (knowingly or unknowingly) waived your rights to have access to the court.
You can't sue me clauses usually mean you can't sue them for any liability in a court of law-but they can still sue you. That's right-they don't waive their rights-they only force you to waive yours. It isn't a reciprocal clause-it's a one way street and they own the roadway.
The National Association of Consumer Advocates is gearing up for National Arbitration Fairness Day which will be April 29, 2009 (changed from an earlier reported date of March 11th)
NACA will be bringing consumers to Washington, DC to tell Congress and the media why binding mandatory arbitration is an unfair system.
Are you dealing with an arbitration clause in a contract?
If you have a story or feel wronged by a binding mandatory arbitration clause, please email me or feel free to comment on this blog, or you can always tell your story here. You may be asked to go to Washington and share your story.
**********************************************
Credit Card Practices about to Change...
Today the Office of Thrift Supervision (OTS) approved a final rule barring unfair credit card practices. The Federal Reserve is expected to release their rule (which should be identical) this afternoon. This is a nice (albeit late) first step towards protecting consumers from unfair and deceptive practices of the credit card industry
We should be pleased that the federal regulators have finally implemented some protections for consumers. At the same time, it is very disappointing to see that these limited protections won't take effect until July 2010. It is also very clear that much still needs to be done to protect consumers from the bad practices of the credit card industry and that we will need work together towards that goal as a new Congress and a new administration takes office.
You cannot walk your case through the doors of the judicial system because you have (knowingly or unknowingly) waived your rights to have access to the court.
You can't sue me clauses usually mean you can't sue them for any liability in a court of law-but they can still sue you. That's right-they don't waive their rights-they only force you to waive yours. It isn't a reciprocal clause-it's a one way street and they own the roadway.
The National Association of Consumer Advocates is gearing up for National Arbitration Fairness Day which will be April 29, 2009 (changed from an earlier reported date of March 11th)
NACA will be bringing consumers to Washington, DC to tell Congress and the media why binding mandatory arbitration is an unfair system.
Are you dealing with an arbitration clause in a contract?
If you have a story or feel wronged by a binding mandatory arbitration clause, please email me or feel free to comment on this blog, or you can always tell your story here. You may be asked to go to Washington and share your story.
For more facts and information about Binding Mandatory Arbitration see a few early blogs:
Binding Arbitration; What does it really mean?
What those "you can't sue me" clauses really mean...
**********************************************
Credit Card Practices about to Change...
Today the Office of Thrift Supervision (OTS) approved a final rule barring unfair credit card practices. The Federal Reserve is expected to release their rule (which should be identical) this afternoon. This is a nice (albeit late) first step towards protecting consumers from unfair and deceptive practices of the credit card industry
We should be pleased that the federal regulators have finally implemented some protections for consumers. At the same time, it is very disappointing to see that these limited protections won't take effect until July 2010. It is also very clear that much still needs to be done to protect consumers from the bad practices of the credit card industry and that we will need work together towards that goal as a new Congress and a new administration takes office.
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My wife is a broker and recently took out a payday loan. Her market has only gotten worse and she was not able to make the extremely high finance fee along with the principal. I finally looked at the terms and conditions and saw that it was a forced arbitration agreement that restricted her rights. I spoke to a debt negotiator
(non-profit) and was told to not make the payment so that the account would go to third party and thus become unsecured and then more easily discounted. To see the terms and conditions please view www.webpayday.com.
Thankyou
There is NEVER a good time to take out a payday loan. You will not only be stuck with binding arbitration as you mentioned -but you will be paying about 400% interest on it. Each day that goes by where you don't pay the loan -you will get in deeper and deeper. Avoid payday loans at all costs! Turn to family or a credit union or maybe even an equity line -but NEVER turn to a payday loan. Go to AFFIL.org for more info on predatory lending -or search this main site.