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‘Samsung’ Highlights the Costs of Arbitrating Mass Claims

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Judge Shira Scheindlin, arbitrator, mediator, special discovery master

The arbitration of mass claims is now available through all of the major ADR providers. The American Arbitration Association (AAA), JAMS, FedArb and CPR have developed special rules to govern the resolution of such claims.

A bit of history is warranted. Most consumer contracts require that all disputes be resolved by arbitration. These contracts generally cover relationships with many financial institutions, the sale of consumer goods, and employment agreements. Many of these
contracts agree that the employer, seller, or institution will pay the costs of the arbitration.

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