That case tests whether businesses can short-circuit a consumer class action by invoking the federal Arbitration Act, which encourages arbitration instead of litigation.

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The tribunals say they operate under the Arbitration Act of 1996.

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The conservative majority on the court, led by Chief Justice John Roberts has shown a strong preference for upholding the Federal Arbitration Act, which encourages businesses to use arbitration instead of courtroom litigation to settle their differences.

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This is yet another challenge to the Federal Arbitration Act, a law Congress intended to encourage arbitration instead of expensive court battles.

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Such arrangements were allowed by the province's 1991 Arbitration Act and could carry the force of law.

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Trial lawyers desperately want to neuter the Federal Arbitration Act, which sweeps all manner of litigation into its maw.

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The Federal Arbitration Act has roots in the historic hostility of state judges to any sort of private contract that diminished their ability to question its terms.

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In September 2005 the province's premier, Dalton McGuinty, decided to prohibit all settlement of family matters based on religious principles under the Arbitration Act.

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This is especially true given that Section 921 of the Dodd-Frank Act provided the SEC with rulemaking authority to prohibit or impose conditions on the use of mandatory pre-dispute arbitration agreements.

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