this post was submitted on 15 Aug 2024
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A Boring Dystopia
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You need to reform lawsuits at the same time. The US legal system allows lawyers to take cases on contingency, getting paid only if they win. In most other countries this isn't allowed. In addition, in most other countries it's much easier for the winner of the lawsuit to recover the legal costs of the lawsuit from the loser.
The result of this is that the US has a lot more nuisance and extremely speculative lawsuits. Under those conditions, a binding arbitration setup is more reasonable. It means that neither side is spending tons of money on lawyers. If you reform the legal system so that only people who stand a decent chance of winning are willing to sue, then definitely get rid of binding arbitration.