RIP National Arbitration Forum. But what’s next?
August 1, 2009
The National Arbitration Forum, a Minnesota based swindle-mill, recently agreed to end its consumer arbitration scammery in response to a lawsuit by the state attorney general alleging massive consumer fraud. It seems that some of the debt collectors who relied on the NAF to render unbiased consumer arbitration awards in their favor, actually owned the company. Didn’t disclose it though. Imagine that. So after fleecing consumers for years, the NAF finally packed up and left the barn.
But what of the NAF awards that have been already confirmed by state courts – that is, awards where the courts have upheld the findings of this corrupt outfit. I’ve got a client right now awaiting a court ruling on a petition to confirm just such an NAF award [for $30K]. If you were the judge what would you do?
But you”re not
Anyway, the bank in this case – one of the biggies, you know it, you have their card with you right now – has offered to dismiss the case. That’s right. They’ve offered to walk away from $30K. This lender is sitting on millions in corrupt NAF awards and they have decided to let them go. Sources tell me that a decision has been made at the highest levels not to enforce any of their NAF awards. They are not happy.
This only one bank. But the fallout from the Minnesota BOMBSHELL is just beginning. Banks don’t typically shun money unless they have a good reason. ..[and even then]. But at least one major lender has decided to avoid the blowback of enforcing an anti-consumer award rendered by a disgraced arbitration company.
For the moment, things look good in Munchkin Land…..as we little folk wait for what the other big banks will do.
