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From the monthly archives: May, 2016

We are pleased to present below all posts archived in 'May, 2016'. If you still can't find what you are looking for, try using the search box.

CFPB Seeks Comments on Proposed Rules Prohibiting Mandatory Arbitration in Consumer Financial Matters

The Consumer Financial Protection Bureau announced that it is seeking comments on proposed rules to prohibit mandatory arbitration clauses in many consumer financial products.

The proposed rules are here.

The CFPB's 2015 study on arbitration is here.

Texas: Settlement Agreements, Arbitration, Indemnification, and Summary Judgment

The Tenth Court of Appeals (Waco), in Capstone Building Corp. v. IES Commercial, Inc., reversed the trial court's summary judgment in favor of IES. This case is a severed part of a broader dispute relating to a housing complex at Sam Houston State University.* Capstone was the general contractor, and IES was the mechanical/HVAC/electrical subcontractor. Capstone and IES entered into a settlement agreement after IES filed a petition for arbitration alleging a payment dispute. The settlement agreement included a payment amount, a warranty that the sub's subs had been paid, and that IES would indemnify Capstone from claims brought by subs or suppliers. Capstone released claims relating to HVAC warranty claims. Several years later, SHSU sued ACC alleging construction defects, including alleged HVAC defects, according to the opinion. IES filed for summary judgment on Capstone's claims against it, and the trial court granted the motion for summary judgment. The Court of Appeals rejected IES' argument that the s ...

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