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Acting against the strong opposition of NAHB, the House today voted largely along party lines to narrowly approve the Forced Arbitration Injustice Repeal Act (H.R. 963), legislation that would prohibit two parties from including in a contract a pre-dispute arbitration agreement. NAHB strongly supports the use of alternative dispute resolution (ADR), including binding arbitration, in consumer contracts.

NAHB has found that ADR is often the most rapid, fair and cost-effective means to resolving trade disputes – for the both the builder and buyer – arising out of the construction and/or sale of the home. In contrast, litigation is expensive, time consuming and unlikely to produce the desired result – getting the problem repaired.