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How the CFPB may ban arbitration, and why you should care
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Banking, Consumer Protection, Corporate Governance, Legislation, Nonbank Financial
Friday, April 29, 2016
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The Consumer Financial Protection Bureau is hosting a third field hearing on arbitration, where it may reveal its proposed rule. Director Richard Cordray has said that the bureau does not intend to ban arbitration outright but may ban class-action waivers instead. Attorney Alan Kaplinsky, who is credited with pioneering pre-dispute arbitration, spoke with Dodd Frank Update about the differences between arbitration and class action, and why the latter isn’t necessarily the best choice for consumers.
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