Recent putative consumer class action cases filed against Ring and Zoom raise allegations under the California Consumer Privacy Act (“CCPA”) and are likely to be the first battlegrounds over the CCPA’s potential hostility to consumer arbitration clauses. The continued applicability of arbitration agreements is likely to be a significant (and hard-fought) issue with far-reaching implications
Arbitration
Another Legislative Attempt to Curtail Mandatory Arbitration Clauses
Businesses often include mandatory arbitration clauses in their pre-dispute dealings with customers to prevent costly consumer class actions in favor of streamlined (often individual) arbitration. The Federal Arbitration Act (“FAA”) makes such arbitration agreements “valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract.” …