Fashion Nova’s Arbitration Clause Fades Away

Online retailers routinely include arbitration clauses in the terms of service for their website, seeking to send any consumer claims to arbitration and to eliminate a consumer’s right to file a class action lawsuit. Companies adopting this approach—and indeed, the drafters of any arbitration clause—should pay careful attention to the questions of (1) who will decide whether particular claims are subject to arbitration; and (2) the scope of any carve-outs from the arbitration provision, as the recent decision in Dembiczak v. Fashion Nova, LLC demonstrates…

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