Monthly Archives: January 2014

Public policy favors arbitration of consumer and other civil disputes

In a recent post, we commented on Hyundai’s decision to abandon the arbitration clause in its new vehicle limited warranty. A reader pointed out that, generally, in consumer-dispute arbitration only the warrantor is bound by the award. The reader is correct that where a consumer protection statute or lemon law includes a state-run mandatory arbitration procedure, it generally permits a consumer dissatisfied with an award to reject it and proceed to litigation.

Contractual arbitration clauses, however, are reviewed under the Federal Arbitration Act (“FAA”) and generally enforced by the courts. Continue reading

1 Comment

Filed under Court Decisions, Statutes & Regulations, Warranty

New York Times Bullies Hyundai into dropping its warranty arbitration program

A recent “victory” for the New York Times strikes a blow to consumers. By bullying Hyundai into abandoning arbitration to resolve warranty disputes, it robbed consumers of a fair and efficient alternative to costly, time-consuming, and economically inefficient litigation. Continue reading

2 Comments

Filed under Customer Experience, Resolving Disputes, Risk Management, Statutes & Regulations, Warranty

The Evolution of DRM and Concerns Faced

Envision a world where everyday products are purchased, but a vital component of that product is still owned by the manufacturer.  With ownership of that component, the manufacturer could affect how the product is used and enjoyed, and could also gather insightful (and private) information on how that product is being used and enjoyed.  Well, we’re not too far off.

Continue reading

Leave a comment

Filed under Customer Experience, Risk Management, Service Contract