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Federal Arbitration Act Preempts Conflicting California Law Exempting from Arbitration Claims for Public Injunctive Relief

On November 1, 2013 by Schnader in Finance

By Melissa Lor Consistent with the preemption principle of the U.S. Constitution’s Supremacy Clause, the Ninth Circuit recently held that the Federal Arbitration Act preempts California’s so-called Broughton-Cruz rule, which exempts claims for “public injunctive relief” from arbitration. In Ferguson v. Corinthian Colleges, former students of for-profit schools owned by Corinthian […]

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