Class Action Frequent Questions

Class Action Basics

Basic information about how class action lawsuits work

Arbitration

+ What does a court consider when deciding to compel arbitration?

In ruling upon a motion to compel arbitration, the court first determines whether the parties agreed to arbitrate the particular type of dispute at issue. Answering this question requires considering two issues: (1) whether there is a valid agreement to arbitrate between the parties; and (2) whether the dispute in question falls within the scope of that arbitration agreement.

Last updated on March 31, 2012 by Blumenthal, Nordrehaug & Bhowmik

+ Do Courts Favor Arbitration?

The Federal Arbitration Act reflects a liberal federal policy favoring arbitration. However, the federal policy favoring arbitration does not apply to the determination of whether there is a valid agreement to arbitrate between the parties. Given the fundamental principle that arbitration is a matter of contract, to determine whether an agreement to arbitrate is valid, courts apply ordinary state-law principles that govern the formation of contracts.

Last updated on March 31, 2012 by Blumenthal, Nordrehaug & Bhowmik