Mandatory binding arbitration

4th Circ. Refuses To Rethink Payday Loan Arbitration Ruling

Law360, New York (March 1, 2016, 5:25 PM ET) — The Fourth Circuit on Tuesday denied a bid by a Nevada collection agency with ties to a South Dakota tribe for rehearing of the court’s recent ruling that the company couldn’t arbitrate claims from a putative class of payday loan borrowers, despite the company’s claims the decision could lead to widespread invalidation of arbitration agreements.

On Feb. 2, the appeals court reversed a Virginia district court decision, ruling that an arbitration clause in loan agreements from Delbert Services Corp., which collected loans on behalf of a