Filing Arbitration For Settlement

Summary

Filing for arbitration might encourage the company to settle, but it depends on the specific circumstances. The companys willingness to settle might be influenced by factors including the strength of your case, their assessment of potential arbitration costs, and their overall litigation strategy. It could be interpreted that the lawyer is trying to buy time, but its also possible they are genuinely reviewing the information. Even if you file for arbitration, the company can still offer a settlement at any point during the arbitration process, including before responding to your demand for arbitration. Settlement discussions can be initiated at any stage of the dispute resolution process.

Full Conversation

I received this email from the company’s lawyer. Ms. ****, You are of course entitled to take whatever action you deem appropriate. My client is not able to meet your deadline, but is examining your letters and the other information you provided to determine whether a resolution short of arbitration is possible. I will be in touch with you as soon as able to discuss. Best, Tom….. In my demand letter I gave a deadline of today. When I file this is what my complaint will be. If I file for arbitration will the company be more inclined to settle? *. Briefly explain the dispute: In the case at hand, I, as the claimant, have filed an original dispute on */*/* regarding $*,*.* worth of unrecognized transactions to my Credit Karma money spend checking account # *, with Dispute IDs: *, *, *, *, * & *. While on */*/* ID *(*,*) was approved the remaining * claims were denied on */*/*. Despite my diligent efforts to resolve the issue through the appropriate channels, the defendant, Credit Karma, has failed to comply with federal regulations related to error resolution and consumer protection. Specifically, Credit Karma has violated regulations such as (*) *.*(a)(*) by limiting error resolution procedures to only unauthorized transactions, (*) *.*(c)(*) by failing to report investigation results and correct errors in a timely manner, and (*) *.*(c)(*)(i) by not provisionally crediting the account within the specified timeframe. Furthermore, Credit Karma has failed to adhere to regulations outlined in (*) *.*(c)(*)(ii), (*) *.*(c)(*)(iii), (*) *.*(c)(*)(iv), and (*) *.*(d)(*), which require prompt communication and explanation of findings to the consumer. Additionally, Credit Karma’s actions also constitute a violation of the (*) California Consumer Sales Practice Act and (*) * U.S.C. * (g) the burden of proof showing the transactions were indeed authorized. On */*/* I filed my *-day demand letter in accordance with section *.* Dispute Resolution and Arbitration agreement with Credit Karma. As such, I have exhausted all available avenues to resolve this dispute and now seek arbitration as the only remaining option to protect my rights and seek actual damages, treble damages and statutory damages for Credit Karma’s non-compliance with the law.
Hi **** ****,
Filing for arbitration might encourage the company to settle, but it depends on the specific circumstances. The company's willingness to settle might be influenced by factors including the strength of your case, their assessment of potential arbitration costs, and their overall litigation strategy. Remember, legal advice is best sought from a lawyer who's familiar with your case details.
Does it sound like the lawyer is trying to buy time
It could be interpreted that way, but it's also possible that they are genuinely reviewing the information before progressing. It's crucial to communicate openly and maintain a professional relationship during this process.
If I file for arbitration they can still offer a settlement
Yes, even if you file for arbitration, the company can still offer a settlement at any point during the arbitration process. This can be before the arbitrator's decision, depending on the company's evaluation of the situation.
If I file for arbitration can the company offer a settlement before responding to my demand for arbitration
Yes, a company can offer a settlement before responding to a demand for arbitration. Settlement discussions can be initiated at any stage of the dispute resolution process. However, the acceptance of a settlement is entirely up to you.