Are there any special rules for bringing class action claims in securities arbitration?

Class action claims are generally not available in securities arbitration. This is because securities arbitration is a form of private dispute resolution, rather than a public court proceeding. Under the Federal Arbitration Act, parties to a securities arbitration agreement must waive any right to bring class action claims. In Kansas, due to the Kansas Uniform Securities Act, bringing class action claims in securities arbitration is also not allowed. This act states that if an arbitration agreement requires arbitration of disputes, then it shall be enforceable and the parties may not participate in a class action lawsuit or class-wide arbitration. In some cases, however, if an arbitration agreement does not explicitly prohibit class action claims, then it may be possible to pursue class action claims in securities arbitration. For example, a group of investors may join together and pursue a single arbitration claim if all the investors are similarly situated. To ensure that class action securities arbitration is not allowed, it is important to review the specific language of the arbitration agreement before entering into the agreement. It is also important to consult a lawyer to determine whether or not pursuing class action claims is allowed in the particular jurisdiction.

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Are there any special rules for bringing class action claims in securities arbitration?

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