Litigation & Arbitration,
9th U.S. Circuit Court of Appeals
Jun. 7, 2022
Circuit to rehear challenge to tribe-affiliated lender’s arbitration clause
U.S. District Judge William H. Orrick a denied the lenders’ motion to compel arbitration in 2019 and said the agreement was unenforceable because it waived the class’ right to pursue federal statutory claims since an arbitrator would have to apply tribal law.
A full panel of the 9th U.S. Circuit Court of Appeals will rehear a challenge to arbitrate a class action against a lender accused of illegally affiliating with a Native American tribe to charge usurious rates.
The original complaint was filed by a group of borrowers against lending companies owned by the Chippewa Cree Tribe of the Rocky Boy’s Indian Reservation and the Otoe-Missouria Tribe. The tribal lenders allegedly charged interest ra...
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