Arbitration/Class Action Alert
SUPREME COURT DECIDES STOLT-NIELSEN: NO CLASS ARBITRATION WHERE CLAUSE IS SILENT
Stolt-Nielsen S.A., et al. v. AnimalFeeds International Corp. (08-1198)
Although the decision will undoubtedly affect consumers and workers, the Stolt-Nielsen case itself involved claims brought by a group of large businesses, that alleged that a handful of shipping companies had engaged in a global price-fixing conspiracy. One big question that will need to be addressed is how the decision will be applied in cases where consumers' or workers' claims are small and a class action is the only realistic means of redress.
The impact of the decision is unclear at this point and will have to be worked out by the lower courts.
Click here to read the Opinion.
SUPREME COURT DECIDES STOLT-NIELSEN: NO CLASS ARBITRATION WHERE CLAUSE IS SILENT
Stolt-Nielsen S.A., et al. v. AnimalFeeds International Corp. (08-1198)
Although the decision will undoubtedly affect consumers and workers, the Stolt-Nielsen case itself involved claims brought by a group of large businesses, that alleged that a handful of shipping companies had engaged in a global price-fixing conspiracy. One big question that will need to be addressed is how the decision will be applied in cases where consumers' or workers' claims are small and a class action is the only realistic means of redress.
The impact of the decision is unclear at this point and will have to be worked out by the lower courts.
Click here to read the Opinion.