When I last talked about the ban of arbitration clauses in nursing home admission agreements, the political climate suggested that this was a first step in broader reform of consumer arbitration. What a difference a few weeks makes.
As reported by the ABA last week, on Monday District Judge Mike Mills entered a preliminary injunction blocking implementation of the rule. Then on Tuesday, Trump won.
Here is Judge Mills’ Order.
At this point, the lawsuit before Judge Mills is probably just a bragging rights case. With the new President comes a new administration and new policy. The Trump administration will probably revoke the ban.
I take nothing back I’ve said about my opinion that a day is coming when pre-dispute consumer arbitration agreements will not be enforceable. But that day is much further away than it was last Monday.
Look for the Republican Congress and President to attempt to completely dismantle the civil justice system. This is not something we’ve had to worry about for the last eight years. But it’s bed-wetting time for the litigation industry.
Anyone working in mass tort–plaintiff or defense–should be particularly afraid. Big firm associates working on mass tort defense should begin thinking about Plan B in case new laws effectively eliminate their practice area. Mass tort will not, however, be the only impacted practice area. If the Chamber gets their entire wish list the courthouse will be closed to individuals who can’t afford to pay a lawyer except, perhaps, in fender bender cases.