July, 15 2009, 01:54pm EDT
Minnesota Attorney Generals Suit Shines Light on Unfair Arbitration Practices
Statement of David Arkush, Director, Public Citizen's Congress Watch Division
WASHINGTON
We applaud Minnesota Attorney General Lori Swanson for pursuing the National Arbitration Forum (NAF) for deceiving the public with claims of neutrality when, according to Minnesotas complaint, NAF is allied with debt collectors for the nations largest credit card providers. The allegations in the suit Minnesota filed Tuesday reinforce what many advocates of fair arbitration have known for a long time: Arbitration companies treat large corporations as their clients, collaborating with them to deprive consumers of their rights under critical consumer protection laws.
One of the allegations in the complaint is that the National Arbitration Forum, the U.S. Chamber of Commerce and others have waged a coordinated effort to discredit Public Citizens 2007 report showing that big corporations win 95 percent of the time before NAF. The complaint also alleges that a New York hedge fund owns a major stake in both NAF and the countrys largest debt collection law firm, and that the hedge funds principals coordinated with NAF to try to kill or weaken the proposed Arbitration Fairness Act. The attorney generals allegations, if true, are two among many indicating that NAF has misled the public about its neutrality, only confirming Public Citizens reports.
Minnesotas lawsuit is an important effort to protect its citizens from the inherent corruption of the forced arbitration system. Congress must now protect all Americans by passing legislation to end forced arbitration. The Arbitration Fairness Act (H.R. 1020 and S. 931) would do just that, protecting consumers, employees and franchisees. The Consumer Financial Protection Agency Act (H.R. 3126) would create an agency that is empowered to protect consumers from forced arbitration in contracts for financial products like credit cards.
Minnesotas suit alleges violations of Minnesotas consumer-fraud, deceptive-trade-practices, and false-advertising laws. It comes as the U.S. House of Representatives considers H.R. 3126, sponsored by Rep. Barney Frank (D-Mass.), and the House and Senate consider H.R. 1020 and S. 931, sponsored by Rep. Hank Johnson (D-Ga.) and Sen. Russ Feingold (D-Wis.), respectively.
Public Citizen is a nonprofit consumer advocacy organization that champions the public interest in the halls of power. We defend democracy, resist corporate power and work to ensure that government works for the people - not for big corporations. Founded in 1971, we now have 500,000 members and supporters throughout the country.
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Sanders Says 'Political Movement,' Not Murder, Is the Path to Medicare for All
"Killing people is not the way we're going to reform our healthcare system," he said. "The way we're going to reform our healthcare system is having people come together."
Dec 12, 2024
Addressing the assassination of UnitedHealthcare CEO Brian Thompson and conversations it has sparked about the country's for-profit system, longtime Medicare for All advocate Sen. Bernie Sanders on Wednesday condemned the murder and stressed that getting to universal coverage will require a movement challenging corporate money in politics.
"Look, when we talk about the healthcare crisis, in my view, and I think the view of a majority of Americans, the current system is broken, it is dysfunctional, it is cruel, and it is wildly inefficient—far too expensive," said Sanders (I-Vt.), whose position is backed up by various polls.
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"Killing people is not the way we're going to reform our healthcare system," Sanders added. "The way we're going to reform our healthcare system is having people come together and understanding that it is the right of every American to be able to walk into a doctor's office when they need to and not have to take out their wallet."
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In addition to highlighting Sanders' interview on social media, Congressman Ro Khanna (D-Calif.) pointed out to Business Insider on Wednesday that "you've got thousands of people that are sharing their stories of frustration" in the wake of Thompson's death.
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Two other Medicare for All advocates, Reps. Maxwell Frost (D-Fla.) and Alexandria Ocasio-Cortez (D-N.Y.), also made clear to Business Insider that they oppose Thompson's murder but understand some of the responses to it.
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Sen. Elizabeth Warren (D-Mass.)—a co-sponsor of Sanders' Medicare for All Act—similarly toldHuffPost in a Tuesday interview, "The visceral response from people across this country who feel cheated, ripped off, and threatened by the vile practices of their insurance companies should be a warning to everyone in the healthcare system."
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Reporters Without Borders' (RSF) 2024 roundup, which was published Thursday, found that at least 54 journalists were killed on the job or in connection with their work this year, and 18 of them were killed by Israeli armed forces (16 in Palestine, and two in Lebanon).
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According to the FTC:
Under the Robinson-Patman Act, it is generally illegal for sellers to engage in price discrimination that harms competition by charging higher prices to disfavored retailers that purchase similar goods. The FTC's case filed today seeks to ensure that businesses of all sizes compete on a level playing field with equivalent access to discounts and rebates, which means increased consumer choice and the ability to pass on lower prices to consumers shopping across independent retailers.
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