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2011

Dispute Resolution and Arbitration

University of Missouri School of Law

Contracts

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Full-Text Articles in Law

Arbitration Ambush In A Policy Polemic, Amy J. Schmitz Oct 2011

Arbitration Ambush In A Policy Polemic, Amy J. Schmitz

Faculty Publications

Arbitration has been demonized in the media and consumer protection debates, often without empirical support or consideration of its attributes. This has led to renewed efforts to pass the Arbitration Fairness Action, which would bar enforcement of pre-dispute arbitration clauses in consumer, employment, and civil rights contexts. It also inspired Dodd-Frank’s preclusion of arbitration clauses in mortgage contracts, along with the Consumer Financial Protection Bureau’s charge to prohibit or limit enforcement of pre-dispute arbitration agreements in consumer financial products and services contracts. Some of this negativity toward arbitration is warranted, especially in the wake of the United Supreme Court’s recent …


Missouri Courts Side With Employees Against The Eighth Circuit: Continued Employment Does Not Constitute Acceptance And Consideration For Mandatory Arbitration Agreements: Frye V. Speedway Chevrolet Cadillac, Laura Browne Jul 2011

Missouri Courts Side With Employees Against The Eighth Circuit: Continued Employment Does Not Constitute Acceptance And Consideration For Mandatory Arbitration Agreements: Frye V. Speedway Chevrolet Cadillac, Laura Browne

Journal of Dispute Resolution

The question of whether continued employment constitutes acceptance and consideration for an employment contract, particularly applied to mandatory arbitration clauses, has split the authorities who decide on cases arising out of Missouri. The United States Court of Appeals for the Eighth Circuit, while purporting to apply Missouri law in cases arising out of Missouri, holds that an employee who continues to work for his or her employer after an arbitration program has been implemented is bound by it by the virtue of his or her continued employment. Missouri courts, however, disagree with this interpretation of Missouri law and held in …