Class arbitrations in New Zealand

Abstract

While class arbitrations have been a popular source of debate in the United States, it is not often in the context of New Zealand law. Class arbitrations can be a useful in some factual examples, such as consumer claims against companies. However, there are also arguments that class arbitration changes the nature of arbitration. Furthermore, it is worth considering how well class arbitrations would work in jurisdictions where class actions are not popular, such as New Zealand. This paper analyses the reasons for and against class arbitrations, posed in the context of consumer claims. It will first set out the background of class arbitrations and the landscape of consumer claims in a globalised world, before moving on to a comparison of arguments for and against class arbitration. It then ties these arguments back into the consumer claims context and asks whether class arbitration is the right solution for resolving these disputes, and if not, whether there are any conclusions. It will conclude that class arbitration is a process that may yield useful results, if carried out according to a carefully constructed process.