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The High Price of Legacy Mass Arbitration Rules
Legacy mass arbitration rules don’t allow litigants to narrow the case at an early stage, which encourages the mass solicitation of potential claimants, often abusively. This drives up costs and makes it harder to identify legitimate claimants who are entitled compensation.
Traditional mass arbitration providers create costly and inefficient hurdles, including:
- No dispositive motions
- Limited or no ability to bring Rule 11 motions
- Unqualified process administrators with limited or no ability to narrow the case
- Massive front-end filing fees
- Limited or no ability to select decision-makers
- Variability in rulings from batch or bellwether arbitrations
Efficient, Quick, Uniform Resolution
Minimize front-end costs with early dispositive motions
FedArb helps you minimize risk, manage costs and speed up case resolution by enforcing Rule 11 affirmation requirements. Our expert-driven process, led by top jurists, ensures early case assessment and a clear understanding of its scope.
- Eliminate non-meritorious claims before paying filing fees. Pre-filing fee motion to dismiss filters out unmeritorious cases early with Rule 12(b)(6) standards and former Article III judges. View our fee framework.
- Faster, more effective settlements. A FRCP MDL-styled consolidated process eliminates issues of procedural and substantive unconscionability, ensuring all parties have a clear picture of potential claims, leading to more meaningful settlement discussions. Read our mass arbitration rules.
- Uniform, efficient outcomes. Our ADR-MDL™ process treats all claimants equally – unlike the variability inherent in batch or bellwether arbitrations – by resolving legal, discovery and damages issues common to all cases before individual arbitration begins.
- Reduce frivolous claims with a rigorous “reasonable inquiry” requirement using FRCP Rule 11 affirmation standards.
- $5-$7MM savings versus other arbitration providers. Massive upfront fees are eliminated. Filing fees are paid after the motion to dismiss decision. See how FedArb’s fees compare to legacy providers.
- Resolve cases in under a year for those involving statutory damages with FedArb’s mass arbitration rules, integrated case management software and former Article III judges.
Contact FedArb to register your arbitration provision and adopt our mass arbitration rules.
CEO Ken Hagen discusses the recent mass arbitration ruling
The Ninth Circuit ruled that Starz Entertainment LLC can’t be forced to individually arbitrate 7,300 video-privacy claims. The consumers had alleged the company unlawfully shared their personal information with Meta Platforms Inc. and Google LLC.
The court wrote that the ADR provider, not Starz, made the decision to consolidate the arbitrations.
In this video FedArb CEO Ken Hagen breaks down the ruling and what it implies for the future of mass arbitrations.
Recommended by Leading Law Firms and Implemented by Major Companies
Resolve Cases with Established Jurists Skilled in Mass Claims Resolution
FedArb offers seasoned jurists with Rule 11 and 12(b)(6) experience can reduce your mass arbitration burden
- Largest panel of former Article III judges (60). Review our panelists.
- Federal rules provide case law. See FedArb’s rules for mass arbitration.
- Highly responsive, 24/7 case administration team.
- Decades of arbitration experience. Leader in mass arbitration since its inception.
- Challenges against FedArb rules have been uniformly rejected.
- Flexibility to use any arbitration rules: AAA, JAMS, CPR, ADR Services or any other rules.
FedArb ADR-MDL Framework to Expedite Resolutions and Reduce Fees
No filing fees required until after the motion to dismiss decision
Stage 1
Registration date
Company registers arbitration provision with FedArb.
Cost: $50,000
Stage 2
3 months
Claimants submit demand for arbitration with Rule 11 attestation.
Optional Prefiling Motion
- $50K-$100K/motion
- Filing fee of $100/actual claimants due 30 days after ruling
Stage 3
4-12 months
MDL Panel decides common issues.
Any remaining individual issues decided by:
- Submission of claims form: $1MM
- Individual expedited arbitrations: $350K
Access to FedArb’s cost-saving mass arbitration process begins only if your arbitration provision specifies the use of FedArb’s rules.
FAQs
Yes. FedArb administers mass arbitration under its published Mass Arbitration Rules, which are designed to manage large volumes of coordinated claims efficiently and fairly. Proceedings are overseen by experienced neutrals, including former Article III judges, who apply established procedural standards such as Rule 11 and Rule 12(b)(6).
FedArb’s Mass Arbitration Rules establish a coordinated, MDL-style process for managing large volumes of related arbitration claims. The rules permit early review of threshold legal issues — including Rule 11 affirmation requirements and Rule 12(b)(6) motions to dismiss — before substantial arbitration fees are incurred.
Common issues are resolved in a unified proceeding, and only bona fide claims proceed to individualized resolution. This structure promotes fairness, efficiency, and cost control while reducing procedural inconsistency and excessive upfront filing fees.
FedArb’s Mass Arbitration Rules allow early review of threshold legal issues before substantial arbitration fees are incurred. Unlike legacy mass arbitration models that require full per-claim filing fees at the outset, FedArb permits Rule 11 affirmation requirements and Rule 12(b)(6) motions to dismiss at the beginning of the process.
Common issues are resolved in a coordinated, MDL-style proceeding, which reduces unnecessary costs and promotes consistent outcomes across related claims.
A company engages FedArb by invoking its arbitration agreement and referencing the FedArb Mass Arbitration Rules. FedArb then administers the coordinated process pursuant to those rules.
Yes. FedArb’s Mass Arbitration Rules allow early review of threshold legal issues, including motions to dismiss under Rule 12(b)(6), before full arbitration fees are imposed.
“MDL-style” refers to a coordinated approach modeled on multidistrict litigation, where common issues are addressed in an organized manner before individual claims proceed separately.
FedArb’s rules incorporate Rule 11 principles to discourage unsupported or improper filings. This helps ensure that only bona fide claims move forward in the arbitration process.
Yes. The process balances access to arbitration for claimants with procedural safeguards that prevent abusive filings and unnecessary cost escalation for respondents.
Mass arbitrations at FedArb are overseen by experienced neutrals, including former Article III federal judges and senior practitioners. These neutrals apply established procedural standards — including Rule 11 affirmation requirements and Rule 12(b)(6) motions to dismiss — to manage common issues and ensure consistent, efficient resolution of coordinated claims.