AFSA, in collaboration with the U.S. Chamber of Commerce and the Alliance for Automotive Innovation, has submitted comments on proposed amendments to the American Arbitration Association's Consumer Arbitration Rules and Employment Rules and Mediation Procedures. The organizations, collectively referred to as "Trades," acknowledged the clarifications and benefits provided by these rules but also identified areas needing improvement.
The Trades highlighted several points for enhancement:
- Clarifying when the Consumer and Employment Rules apply to various types of disputes.
- Introducing documentation requirements for arbitration filings to ensure active engagement by the correct parties.
- Streamlining rights for parties to file dispositive motions earlier in the process for increased efficiency.
- Preventing documents-only desk arbitrations if one party objects.
- Addressing gaps in mass arbitration rules that have led to settlements driven by threats of mass arbitration fees rather than substantive positions.
The Trades expressed gratitude for being part of this rulemaking process, emphasizing that "arbitration is an important alternative to lawsuits to resolve disputes." They noted that clear and effective arbitration rules continue to benefit consumers, creditors, and employees.