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US S878

US S878
Arbitration Fairness Act of 2013


summary

Introduced
05/07/2013
In Committee
05/07/2013
Crossed Over
Passed
Dead
01/03/2015

Introduced Session

113th Congress

Bill Summary

Arbitration Fairness Act of 2013 - Declares that no predispute arbitration agreement shall be valid or enforceable if it requires arbitration of an employment, consumer, antitrust, or civil rights dispute. Declares, further, that the validity and enforceability of an agreement to arbitrate shall be determined by a court, under federal law, rather than an arbitrator, irrespective of whether the party resisting arbitration challenges the arbitration agreement specifically or in conjunction with other terms of the contract containing such agreement. Exempts from this Act arbitration provisions in a contract between an employer and a labor organization or between labor organizations. Denies to any such arbitration provision, however, the effect of waiving the right of an employee to seek judicial enforcement of a right arising under the U.S. Constitution, a state constitution, a federal or state statute, or related public policy.

AI Summary

This bill, the Arbitration Fairness Act of 2013, declares that any agreement to arbitrate a dispute that was made before the dispute arose (a "predispute arbitration agreement") will not be valid or enforceable if it involves an employment dispute (a disagreement between an employer and employee), a consumer dispute (a disagreement between an individual and a seller or provider of goods or services for personal use), an antitrust dispute (a dispute involving claims of violating antitrust laws, often in the context of a class action), or a civil rights dispute (a disagreement involving claims of discrimination based on race, sex, disability, religion, national origin, or other protected characteristics, or violations of constitutional rights). The bill also specifies that a court, not an arbitrator, will decide whether such arbitration agreements are valid and enforceable, regardless of how the challenge to the agreement is made. Importantly, this Act does not apply to arbitration provisions in contracts between employers and labor unions or between labor unions themselves, but it does ensure that employees covered by such agreements still retain their right to go to court to enforce rights guaranteed by the U.S. Constitution, state constitutions, or federal or state statutes.

Committee Categories

Justice

Sponsors (25)

Last Action

Committee on the Judiciary. Hearings held. Hearings printed: S.Hrg. 113-373. (on 12/17/2013)

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