AAA Consumer Arbitration

TL;DRAbstract

Organizations that administer arbitration and other ADR services can by rulemaking, in consultation with industry and claimant groups, improve the fairness of the process for the parties. Consumer disputes present a particular challenge for arbitration systems when the small size of an individual consumer's claim may, as a practical matter, preclude even assertion of the claim. This is a problem also in litigation, but class actions, which can aggregate small clains, may be more readily available in court. Christopher Drahozal examines the initiatives of the American Arbitration Association, the leading ADR provider in the country, to promote fair consumer arbitrations.

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