TITLE

Circuit City Arbitration Clause Struck Down

PUB. DATE
August 2003
SOURCE
Dispute Resolution Journal;Aug-Oct2003, Vol. 58 Issue 3, p7
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
The article reports that on May 13, 2003, the U.S. Court of Appeals for the 9th Circuit rejected electronics retailer Circuit City's arbitration clause for the second time in two years. In its ruling, the 9th Circuit said giving prospective employees time to review an arbitration agreement prior to signing it has no bearing on unconscionability if the agreement is presented as condition of employment and they have no opportunity to alter it. The court cited the fact that the agreement was presented as condition of employment, it was drafted by the company and the employee could not alter the agreement in any way. Circuit City tried to persuade the court that the agreement gave the employee three days to review the arbitration agreement, so it could not be considered procedurally unconscionable.
ACCESSION #
10854724

 

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