Mark & Galusha, Litigation Attorneys - Morristown, Morris County, New Jersey

The Second Circuit has held for a second time that a class action waiver clause of an arbitration agreement is unenforceable between two parties.  In In Re AMEX Merchants' Litigation, No. 06-1871 (2d Cir. Mar. 8, 2011), the Second Circuit Court of Appeals found that a recent U.S. Supreme Court case addressing class action waiver clauses did not change its opinion that such waivers are unenforceable.  The Second Circuit found that although a class action arbitration clause is not per se unenforceable, such a clause is unenforceable “when it would effectively strip plaintiffs of their ability to prosecute alleged antitrust violations.”  However, the Second Circuit recognizes that there are cases where such a clause would be enforceable, in light of the U.S. Supreme Court’s decision in Stolt-Nielsen S.A. v. AnimalFeeds Int’l Corp., 130 S. Ct. 1758 (2010).

Mark & Galusha, Lawyers handling litigation in Morristown and Parsippany, Morris County, New Jersey

If you would like more information about this case or potential litigation, please contact Mark & Galusha, your litigation attorneys in Morristown and Parsippany, New Jersey.  For a free consultation, contact us at 908-626-1001 or 973-440-2311, or tell us your story by clicking the "contact us" page.