Facing Arbitration Onslaught, Samsung Changes the Rules for Consumer Claims

By refusing to pay its share of the requisite case initiation fees to the American Arbitration Association, the plaintiffs’ firms argue, Samsung has breached the contract it unilaterally imposed on its customers.

The plaintiffs’ firms have sued Samsung in Chicago federal court to compel the company to engage in the arbitration process it mandated in customer contracts. The stakes are huge: Labaton’s petition to compel listed 50,000 of the firm’s 100,000 Samsung clients. Robbins Geller and Milberg filed their March 28 petition on behalf of only about 1,030 Samsung users but the firms have said they represent about 60,000 additional clients who intend to seek arbitration against Samsung…

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