Pennsylvania Supreme Court

Case Status


Docket Number

50 EAP 2005


Case Updates

Third Circuit rules on unconscionability of mandatory arbitration agreements

May 31, 2007

In a question certified to the Pennsylvania Supreme Court by the U.S. Court of Appeals for the Third Circuit, the Pennsylvania Supreme Court ruled that mandatory arbitration clauses in mortgage agreements are enforceable, and are not “unconscionable”, as other lower courts had ruled.

U.S. Chamber files amicus brief

April 10, 2006

NCLC asked the Pennsylvania Supreme Court to enforce mandatory arbitration clauses in mortgage agreements. In this case, NCLC’s brief refuted the plaintiff’s allegation that arbitration facilitates predatory lending; and NCLC explained that arbitration is a prompt, fair, inexpensive, and effective method of resolving disputes with consumers and other contracting parties. Moreover, arbitration benefits both individuals and businesses by minimizing the disruption and loss of good will that often results from litigation.

Case Documents