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P0838 The Federal Arbitration Act does not prohibit a California court from refusing to enforce an unconscionable class arbitration waiver; such a waiver is not necessarily unconscionable; under California law a class arbitration waiver contained in an adhesive consumer contract in which disputes predictably would involve small amounts of damages would not be enforceable in an action in which the party with superior bargaining power is alleged to be carrying out a scheme to cheat large numbers of consumers out of individually small sums of money; if an arbitration agreement choosing Delaware law contains such a waiver its enforcement depends on whether it would be enforceable under Delaware law.CitationDISCOVER BANK v SUPERIOR COURT (Class Action Waiver) 36 C4 148 [See: Szetela v Discover Bank 97 CA4 1094, P/AT 5/02; Little v Auto Stiegler 29 C4 1064, P/AT 5/03; Discover Bank v Superior Court (RevGrtd) 105 CA4 326, P/AT 3/03]
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