How to draft enforceable consumer arbitration clauses

Consumer arbitration clauses are the subject of a good deal of controversy in the contracts world, but if you want to learn how to draft them to minimize the risk of judicial nullification, the ABA Business Law Section has How to Draft Enforceable Consumer Arbitration Provisions (ABA membership required).  Here’s the gist:

Business clients, especially financial institutions, want to minimize the risk of excessive damages awarded by runaway juries or in forums in which they believe the playing field is not level.  Arbitration is an attractive alternative, but the courts may refuse to enforce arbitration arrangements that they determine to be unfair to, or to have been unfairly imposed upon, consumers.  These materials offer comprehensive background coupled with practical recommendations as to how to craft enforceable consumer arbitration provisions.