Mandatory Binding Arbitration

If you were told that your legal rights to the courts were to be taken away, what would you do? Well it turns out that is exactly what has been happening for decades. When you purchase a new car in California, you must sign a contract that contains a clause that mandates binding arbitration. What is mandatory binding arbitration? It means that should you have an unresolved complaint with the auto dealership, you must take your issue to an arbitrator – a person without a requirement of legal training, not a lawyer or judge. You are not permitted to take your case to be heard before a judge or jury. What’s even more astounding is the company reserves the right to hire the arbitrator! This clause exists increasingly in more and more contracts. Try to purchase a computer, apply for a credit card, and now a solar system for your home. Even employers are including this clause in their employment contracts. What is to be done? We must collectively demand this practice to be outlawed. At a minimum, require such a clause to be optional. Who would voluntarily give up the right to legal protections. Write to your congressperson or state representative and demand a reversal of this practice. When confronted with this contract clause, refuse to sign unless it is removed. It can be done.

K. Brian Colclasure is a resident of Chula Vista.