LAW 525 Lecture Notes - Lecture 11: Alternative Dispute Resolution, Financial Services, Joe Fresh
19 Jun 2018
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Department
Course
Professor
Chapter 11: non-court business-consumer redress (industry intervenes)
Government is not involved at all
Canadian motor vehicle arbitration plan
oThere was a period in the 70s and 80s that vehicles (industry dominated by American
cars) there was a movement in place
oLemon laws- vehicles with constant issues are lemons
By 1996, arbitration plan became national
Still exists up to today
oArbitration- someone makes a final decision.
Not a judge in court but an arbitrator
They don’t set standards for other cases
oThe arbitrator will come to where the consumer is
Will video call you or come to you physically
Whereas in court, it happens in the jurisdiction of the defendant
oNo costs awarded- it’s free and they come to you. What are you expecting to be
reimbursed for?
oPerceived bias of arbitrators- could LOOK LIKE the arbitrator is on the auto
manufacturer’s side
oAdvantages of court
This stuff happens in small claims court
Precedent set- so others can use previous decisions
Financial services industry
oAlternative dispute resolution tool is different from arbitration
oOmbudsman does not have final decision-making power
oDifference between investment firms and banks
Banks don’t have to be part of OBSI
Initially, they were all part of OBSI, but now 2 have opted out
oIf you follow the OBSI recommendation, they do not publish the complaint. It remains
confidential
If they don’t follow, it’s a name and shame game
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Canadian motor vehicle arbitration plan: there was a period in the 70s and 80s that vehicles (industry dominated by american cars) there was a movement in place, lemon laws- vehicles with constant issues are lemons. Still exists up to today: arbitration- someone makes a final decision. Not a judge in court but an arbitrator. They don"t set standards for other cases: the arbitrator will come to where the consumer is. Will video call you or come to you physically. Whereas in court, it happens in the jurisdiction of the defendant: no costs awarded- it"s free and they come to you. What are you expecting to be reimbursed for: perceived bias of arbitrators- could look like the arbitrator is on the auto manufacturer"s side, advantages of court. Precedent set- so others can use previous decisions. Financial services industry: alternative dispute resolution tool is different from arbitration, ombudsman does not have final decision-making power, difference between investment firms and banks.
