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News
May 16, 2017

SCOTUS to States: Keep Out of Arbitration Agreements

In Kindred Nursing Centers v. Clark, the U.S. Supreme Court ruled 7 to 1 yesterday that “states may not impose rules that single out, overtly or otherwise, arbitration agreements for negative treatment,” writes the National Law Journal.

“The FAA … preempts any state rule discriminating on its face against arbitration,” Justice Elena Kagan wrote for the majority, adding that the law also “displaces any rule that covertly accomplishes the same objective by disfavoring contracts that (oh so coincidentally) have the defining features of arbitration agreements.”

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