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Federal Appeals Could Invalidates Arbitration Class Action Waiver

Written by Steven Daily, LawServer Attorney-Editor   
February 10, 2009

The federal Court of Appeals for the Second Circuit has invalidated a class action waiver contained in an American Express card acceptance agreement with merchants.  The Court reviewed the current debate raging about class action waivers, and concluded, "the plaintiffs have adequately demonstrated that the class action waiver provision at issue should not be enforced because enforcement of the clause would effectively preclude any action seeking to vindicate the statutory rights asserted by the plaintiffs."  Thanks to Brian Wolfman for pointing out the decision on the Public Citizen blog.

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