Alternative dispute resolution mechanism arbitration
Write a short (3-4 page, double-spaced, 12 point font) paper regarding whether the alternative dispute resolution mechanism arbitration meets basic due process requirements.
Apply the due process factors set forth in Chapter 3 to AT&T Wireless’s arbitration clause, which states in part:
“Most customer concerns can be resolved quickly and to the customer’s satisfaction by calling our customer service department at 1-800-331-0500. In the unlikely event that AT&T’s customer service department is unable to resolve a complaint you may have to your satisfaction (or if AT&T has not been able to resolve a dispute it has with you after attempting to do so informally), we each agree to resolve those disputes through binding arbitration or small claims court instead of in courts of general jurisdiction. Arbitration is more informal than a lawsuit in court.
Arbitration uses a neutral arbitrator instead of a judge or jury, allows for more limited discovery than in court, and is subject to very limited review by courts. Arbitrators can award the same damages and relief that a court can award. Any arbitration under this Agreement will take place on an individual basis; class arbitrations and class actions are not permitted. For any non-frivolous claim that does not exceed $75,000, AT&T will pay all costs of the arbitration. Moreover, in arbitration you are entitled to recover attorneys’ fees from AT&T to at least the same extent as you would be in court.”
For your essay, Define “alternative dispute resolution,” “arbitration,” and “due process.”
Does your analysis indicate any potential problems with the fairness of this process? How and why?
Why would AT&T want such a clause? Is this fair to AT&T’s customers? Why?
