Specific Terms to Comply w/ Arbitration

[esoterick]

Greetings to all, 

 

I was hoping someone out there might be able to steer me in the right direction. 

 

A year ago I sent a DV with an election for arbitration letter for a Discover card account. I recently received a letter stating "We are in receipt of your demand for arbitration. We are affording you an opportunity to resolve this claim before initiating any legal action."

 

In reviewing my paperwork from last year I noticed that in response to my DV/arb letter the firm sent me a reply stating "Pursuant to your cardmember agreement there are specific terms you to comply with to request arbitration."

 

I'm confused about what these specific terms may be. I'm not able to find anything in the agreement requiring any action on my part when electing for arbitration. Is there anything I should have done in conjunction with sending the letter? Is this possibly just an attempt to get me to react differently? 

 

I'm also a bit concerned that their letter used the phrase "request arbitration" and "demand for arbitration" versus my use of "elect arbitration." I was under the impression that election was different than a request or demand. 

 

Should I reply to the latest letter? Should I send another DV and/or elect arbitration letter?

 

Thanks in advance for any clarification anyone is able to provide. Want to make sure I'm doing the right thing. 

 

 

[Credator]

...

A year ago I sent a DV with an election for arbitration letter for a Discover card account. I recently received a letter stating "We are in receipt of your demand for arbitration. We are affording you an opportunity to resolve this claim before initiating any legal action."

 

In reviewing my paperwork from last year I noticed that in response to my DV/arb letter the firm sent me a reply stating "Pursuant to your cardmember agreement there are specific terms you to comply with to request arbitration."

 

I'm confused about what these specific terms may be. I'm not able to find anything in the agreement requiring any action on my part when electing for arbitration. Is there anything I should have done in conjunction with sending the letter? Is this possibly just an attempt to get me to react differently? 

 

I'm also a bit concerned that their letter used the phrase "request arbitration" and "demand for arbitration" versus my use of "elect arbitration." I was under the impression that election was different than a request or demand. 

 

Should I reply to the latest letter? Should I send another DV and/or elect arbitration letter?

 

Thanks in advance for any clarification anyone is able to provide. Want to make sure I'm doing the right thing. 

"We are affording you an opportunity to resolve this claim before initiating any legal action" is an opportunity to settle. If that was of interest to me I would probably be responding by inquiring what they had in mind to "resolve the claim".

 

If I am looking for "specific terms to comply with to request arbitration" I would be reviewing the arbitration clause specifically. Any requirements "to request arbitration" *should* be in the arbitration clause itself. I would also want to be confident I was looking at an agreement that actually binds the parties.

 

The current Discover agreement does not seem to have consumer friendly arb terms, IMO. The only requirement in that agreement seems to be "If you wish to begin an arbitration against us but you cannot afford to pay the organization's or arbitrator's costs, we will pay those costs if you ask us in writing." The arbitration terms can change between different years of publication.

 

A Discover Agreement, which appears to be dated 2/1/2010, states: "IF EITHER YOU OR WE ELECT ARBITRATION, NEITHER YOU NOR WE SHALL HAVE THE RIGHT TO LITIGATE THAT CLAIM IN COURT OR TO HAVE A JURY TRIAL ON THAT CLAIM."

 

The particular agreement that binds is going to have specific arbitration terms that need to be reviewed and understood.

 

One can review Discover arbitration cases in the JAMS statistics or in the latest AAA statistics by downloading the link labeled "Provider Organization Report" on this page: http://www.adr.org/aaa/faces/aoe/gc/consumer/consumerarbstat .

[lheart]

I'm also a bit concerned that their letter used the phrase "request arbitration" and "demand for arbitration" versus my use of "elect arbitration." I was under the impression that election was different than a request or demand. 

 

Should I reply to the latest letter? Should I send another DV and/or elect arbitration letter?

 

It is all the same. Based on the terms in Credator's post, once arbitration is "elected" litigation is barred, so request vs demand vs elect are interchangeable. 

 

I would reply asking what they are offering "before initiating litigation". But don't get your hopes up, they will likely ask for full payment or a very small discount.

[esoterick]

Thanks to both of you for your replies. I'm going to ask what they are offering and see. 

 

My agreement was from circa 2009/2010 and believe binds the parties. Will update as I proceed. 

 

Thanks again.