Today in ADR: NJ Federal Court Rules FAA Preempts State Limits on Class Waivers in Arbitration Agreements
The National Arbitration Forum Blog: A federal district court in New Jersey has ruled that the Federal Arbitration Act (FAA) preempts a New Jersey Supreme Court decision holding that a class waiver, if it functions as an exculpatory clause, renders an arbitration agreement unconscionable and therefore unenforceable under New Jersey law.
In Litman v. Cellco Partnership, No. 07-CV-4886, 2008 WL 4507573 (D.N.J. Sept. 29, 2008), Litman