Although Congress enacted legislation in 1974 to prohibit predispute arbitration agreements, the Commodity Futures Trading Commission (CFTC) has adopted a regulation allowing predispute arbitration agreements if customers are given the warning prescribed by the Commission. Since the 1974 legislation, some federal courts have refused to defer to the jurisdiction of the CFTC. The regulation adopted by the Commission and the cases refusing to defer to the jurisdiction of the Commission threaten to nullify the intent of Congress that arbitration be voluntary.
M. Van Smith,
Breaking the Chains That Bind: Arbitration Agreements Versus Forum Rights under the Commodity Futures Trading Commission Act of 1974,
San Diego L. Rev.
Available at: https://digital.sandiego.edu/sdlr/vol16/iss4/3