The circuit was told last year by the U.S. Supreme Court to take a second look at a 2009 circuit decision finding the arbitration clause voided by the Federal Arbitration Act. But on remand yesterday, the judges said a 2010 Supreme Court ruling had not changed their analysis and that "the cost of plaintiffs individually arbitrating their dispute with AMEX would be prohibitive, effectively depriving plaintiffs of the statutory protections of the antitrust laws."
March 09, 2011 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
The U.S. Court of Appeals for the Second Circuit insisted yesterday that a mandatory arbitration clause in American Express’ contracts with merchants that includes a class action waiver is unenforceable as against public policy.
The circuit was told last year by the U.S. Supreme Court to take a second look at its 2009 decision in In re: American Express Merchants’ Litigation, 06-1871, finding the arbitration clause unenforceable under the Federal Arbitration Act (FAA).
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