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this post was submitted on 25 Mar 2024
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It also creates no precedent. You lose, you pay out one angry customer, but the next one who tries, you get a fresh attempt to convince the arbitrators you were right.
In a real court, the first loss woukd be leveraged against you by everyone else in similar straits, even if it wasn't a class action.
NAL and stare decisis is definitely not as strict in arbitration but arbitration generally has to follow state court rules or it will get invalidated including use of precedent. Most court decisions never get published anyway so its essentially the same loss.