Monterey, San Benito, Santa Clara, Santa Cruz Counties, CA March 7, 2000 Election
Smart Voter

"Forced ARBITRATION DEADLY FOR THE CONSUMER"

By JJ Vogel

Candidate for Member of the State Assembly; District 28

This information is provided by the candidate
I'm asking all of you here to please support:
HR 2258, The Consumer Fairness Act of 1999

To treat arbitration clauses which are unilaterally imposed on consumers as an unfair and deceptive trade practice and prohibit their use in consumer transactions, and for other purposes.

FOR THE CONSUMER, ARBITRATION IS NOT A JUST ALTERNATIVE TO A TRIAL BY JURY FOR THE FOLLOWING REASONS:

Citizens rights are being eroded. We must get a handle on the FEDERAL ARBITRATION ACT that actually deprives Consumer of their CONSTITUTIONAL RIGHT of access to ours courts.

Congressmen Gueterriez of ILL.. and Gonzales of Texas currently are working with us on making changes.

Let me refer you to HR2258.

There are many aspects where Arbitration is affecting the consumer adversely. -- Such as Credit Cards etc. In particular this problem of Arbitration rears its ugly head with the biggest purchase of a lifetime - A HOME.

In order to buy a Home a lot of citizens must actually give up a basic Constitutional Right of a trial by jury.

BASICALLY.....


1. Binding Arbitration is nothing more than PRIVATE ENTERPRISE taking over our COURT SYSTEM.


2. The rules were written by the INDUSTRY.


3. The Consumers have been left out of the whole process. In factconsumers are being VICTIMIZED by THE SYSTEM of Arbitration.

4. There is NO DISCOVERY in Arbitration.

So I'm asking all of you here to please support:
HR 2258, The Consumer Fairness Act of 1999

To treat arbitration clauses which are unilaterally imposed on consumers as an unfair and deceptive trade practice and prohibit their use in consumer transactions, and for other purposes.

Please help stop big business from waiving our 7th amendment right to a jury trial by using forced arbitration clauses in consumer contracts.

U.S. Constitution: Seventh Amendment

"In Suits at common law, where the value in controversy shall exceed twenty dollars, the right of trial by jury shall be preserved, and no fact tried by a jury, shall be otherwise re-examined in any Court of the United States, than according to the rules of the common law."

"ARBITRATION DEADLY FOR THE CONSUMER"

FOR THE CONSUMER, ARBITRATION IS NOT A JUST ALTERNATIVE TO A TRIAL BY JURY FOR THE FOLLOWING REASONS:

1. AAA INDUSTRY FRIENDLY, NOT CONSUMER ORIENTED

Builder prepared contract solicits business for the American Arbitration Association.
Consumer believes the American Arbitration Association is unbiased.
Consumer not informed of connections between the Builder and the American Arbitration Association prior to signing a contract to purchase a home.

2. COST - VERY EXPENSIVE

3. TIME RESTRAINTS

Hearing is held 30 days after choosing Arbitrator (faster than JP courts), representing a clear builder advantage.

4. NO DISCOVERY OR CONTINUANCE

Rules of Law not applied to arbitration process.
Rules of procedure do not apply under AAA.
No additional time granted for discovery.
No procedure requiring other side to produce requested discovery.
Hearsay accepted over sworn testimony.
No procedure to appeal Arbitrator's Decision.

5. METHOD FOR CHOOSING ARBITRATOR

Qualifications and fees of arbitrators designed to confuse consumers.

6. NO APPEAL TO JUDGE

No opportunity to appeal matters of law, discovery, or time restraints of Fast Track, etc.

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