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We recently signed a purchase agreement to buy a motorhome with an Arbitration clause contained in it. We signed this agreement at a trade show where we were assured the unit at the show would be the one we were buying. The VIN# of that unit was even on the paperwork we signed. After our deposit check cleared, and the dealer had our money, we found out that the unit we thought we were buying was actually already sold to another show attendee earlier in the show. It was an obvious bait and switch, but with the arbitration clause in effect, we were faced with the possibility of going to arbitration to get our deposit back and being forced to purchase another unit that would be built later on. That would mean taking delivery in the middle of winter, which we did not want.
Ultimately we were able to deal up to a slightly better motorhome with a significant reduction in price. We are happy with what we got, but not in the way it went down. During the ordeal, I did a lot of research concerning Arbitration clauses, and found that the courts have pretty much upheld them. This means dealers of goods and services that have the lawyers writing these clauses in their agreements have the consumer right where they want them - helpless.
The only way the consumers can fight this is to not sign any agreements that contain arbitration clauses in the first place. Only when enough people stand up for their rights and sales numbers diminish will this end.
Don't become another victim. You never know when you might be taken advantage of by an unscrupulous business. If you don't allow anyone to do this then you can never be the victim. From now on, if I have to buy a car, or anything else substantial in price, I figure I won't be needing it bad enough to sign away my right to take them to court if they try to screw me.
I won't leave links for the research I did, since I didn't save them, but check it out for yourself. It's simple. Just search for "arbitration clauses".
While on one hand I agree with you, the courts are backed up around here to the point that the wait time for a civil court date is well over two years, AFTER the initial filing. The right to a speedy trial does not extend to civil court, and the costs involved can become overwhelming. If the arbitration is on something like an RV, I'm not going to flinch. If it is in regard to personal injury, I would have to think about it for a while.
While on one hand I agree with you, the courts are backed up around here to the point that the wait time for a civil court date is well over two years, AFTER the initial filing. The right to a speedy trial does not extend to civil court, and the costs involved can become overwhelming. If the arbitration is on something like an RV, I'm not going to flinch. If it is in regard to personal injury, I would have to think about it for a while.
Go ahead and spend 75-200k on an RV or a house and find out there is something bogus in the agreement that forces you into arbitration and you will start flinching. In our case it was in writing with the Vin# on the paperwork, but they were selling a vehicle that they no longer owned. The only option at that point is to complain to the AG of the state where it occurred, which I don't live in, or go to arbitration. Either way it would be a long protracted effort to get our money back and they knew it. Would you buy a new car with an arbitration clause in the contract? What happens when you find out it was flood damaged?
And what if the arbitration clause says you have you go to New York State to have to fight it?
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