The U.S. Supreme Court has ruled that consumers who received the Aspire Visa credit card are bound by a mandatory arbitration provision in their applications.
Excerpts:
The plaintiffs had claimed in a class action suit that they were promised $300 in available credit, but were charged $257 in fees. They maintained that the Credit Repair Organizations Act gave them a right to sue. They cited a provision in the CROA requiring credit repair organizations to tell consumers, “You have the right to sue a credit repair organization that violates the Credit Repair Organization Act.”
Gary Paul, president of the American Association for Justice, criticized the decision in a press release. “With this ruling, the U.S. Supreme Court has given corporations a way to escape accountability by forcing consumers into a rigged and biased forced arbitration process, even when Congress expressly provides a remedy in a court of law," he said.