Center for American Progress Action
: Reforming the Ripoff Clause: Why Access to Justice Matters for Accountability and the Economy
Reforming the Ripoff Clause: Why Access to Justice Matters for Accountability and the Economy
Many contracts—whether they are for the products and services we buy or for the terms of our employment—contain arbitration clauses that limit individuals’ ability to sue to redress wrongs. These consumer ripoff clauses lock wronged consumers and workers out of the courthouse, leaving them to plead for justice before private-sector arbitrators paid by the very companies that may have committed the harm, instead of an impartial judge and jury.
In recent years, the scope and impact of these consumer and worker ripoff clauses have grown immensely, undermining the private attorney general class action system that has long protected consumers and workers from poor-quality, fraudulent, or even dangerous products, services, and work conditions.
Fortunately, some lawmakers and federal regulators are seeking to turn this trend around and protect individual and class action rights. This event will gather legal experts, consumer advocates, and others to explore how mandatory arbitration clauses harm the public, as well as the efforts that can be taken to restore access to justice.