Industry Settlement Energizes Debate Over Mandatory Arbitration Provisions

The exit of a major player from the consumer arbitration industry is threatening to shake up the debate in Congress over whether to ban mandatory arbitration provisions in consumer contracts. The National Arbitration Forum announced Sunday that it would stop doing business in consumer arbitration by the end of this week, as part of a settlement with the attorney general of Minnesota. A leading lobby group for trial lawyers jumped on the settlement Monday as evidence of malpractice in the arbitration industry.