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Desirability Of International Class Arbitration

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Chapter Summary

It is now well established and well documented that class arbitrations are possible, at least in the United States. But are they desirable? The answer to this, as to so many questions depends on the particulars of the case and claim, and whether you are a claimant or respondent, a bank or consumer, an issuer or shareholder, an employer or employee, and your country of origin. In the United States, where the courts have ruled that the permissibility of a class action in arbitration is essentially a question of clause construction that is left up to the arbitrators, the American Arbitration Association (AAA) and the Judicial Arbitration and Mediation Services (JAMS), two leading arbitral institutions, have promulgated rules for class arbitrations and are actively administering them. On both the international and domestic fronts, public policy and due process concerns are among the greatest obstacles to the acceptability of class arbitration.

Keywords: American Arbitration Association (AAA); arbitral institutions; arbitrators; clause construction; international class arbitrations; Judicial Arbitration and Mediation Services (JAMS); public policy; United States



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