Lawyer Commentary Mondaq United States The Federal Arbitration Act Preempts Any Right To A Class Action Under State Law

The Federal Arbitration Act Preempts Any Right To A Class Action Under State Law

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The California Court of Appeal recently held that the Federal Arbitration Act (FAA) preempts any statutory right to a class action under the California Consumers Legal Remedies Act (CLRA). See Caron v. Mercedes-Benz Financial Services USA LLC et al., --- Cal.Rptr.3d ----, 2012 WL 2579662 (Cal.App. 4 Dist.). In doing so, the court applied the reasoning of the Supreme Court's landmark decision in AT&T Mobility, Inc. v. Concepcion, 131 S. Ct. 1740 (2011) holding that the FAA preempts state laws...

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