Judge Scotches Arbitration Clause In Loan Agreements As ‘Unenforceable’

Mealey's (October 19, 2018, 12:06 PM EDT) -- TACOMA, Wash. — Tribal-related payday lenders cannot force a customer to arbitrate her unlawful usury class claims because the arbitration provision in their loan contract waives a party’s right to pursue federal statutory remedies, making the provision “invalid and unenforceable,” a Washington federal judge decided Oct. 18 (Teresa Titus v. ZestFinance, Inc., et al., No. 18-5373, W.D. Wash., 2018 U.S. Dist. LEXIS 179380)....