Deficient building practices cited in high home insurance rates
Dawn and Scott Richardson received an unwanted glimpse into the homebuilding and insurance industries after being forced out of their $300,000 Austin-area home last year. Just five weeks after construction in 2001, Richardson said the home had become so contaminated with toxic mold and chemicals that she and her baby daughter began suffering health problems that included nausea, neurological problems, and allergic reactions... And as a pitched political battle continues over how to remedy soaring statewide home owner's insurance rates, some building officials and consumer activists have begun to echo Richardson's sentiment, pointing to deficient construction practices as a significant factor in insurance rates that have doubled and in some cases tripled in the past year.

You may have unknowingly waived your constitutional right to a trial by jury when you purchased you new home, used your credit card or made a long-distance phone call. Today, mandatory arbitration agreements are found in almost all consumer contracts, and they are successfully being used by big corporations to block access to courts by consumers who have been treated unfairly. Go to www.texaswatch.org to learn more about arbitration and its pitfalls for consumers.

You may have unknowingly waived your constitutional right to a trial by jury when you purchased you new home, used your credit card or made a long-distance phone call. Today, mandatory arbitration agreements are found in almost all consumer contracts, and they are successfully being used by big corporations to block access to courts by consumers who have been treated unfairly. Go to www.texaswatch.org to learn more about arbitration and its pitfalls for consumers.

By Adolfo Pesquera Express-News Business Writer. Consumers also have complaints about the high cost of an arbitration. Arbitration cases where damage claims exceed $75,000 typically cost consumers $6,000 to $20,000 more than trying the same case in court, say spokesmen for Public Citizen and the Association for American Retired Persons.

Link: http://news.mysanantonio.com/story.cfm?xla=saen&xlb=110&xlc=774590&xld=110

By Adolfo Pesquera Express-News Business Writer. Consumers also have complaints about the high cost of an arbitration. Arbitration cases where damage claims exceed $75,000 typically cost consumers $6,000 to $20,000 more than trying the same case in court, say spokesmen for Public Citizen and the Association for American Retired Persons.

Link: http://news.mysanantonio.com/story.cfm?xla=saen&xlb=110&xlc=774590&xld=110

Critics say new rule favors contractors; builders contend it will make complaint process more efficient 
A new law, signed by Gov. John Engler on July 31, makes it mandatory for consumers to go to arbitration if the builder seeks negotiations and provides a third party to conduct them. Previously, the Michigan Department of Consumer and Industry Services handled all consumer complaints by holding formal hearings.

By Caroline E. Mayer The Washington Post. Arbitrators can limit an aggrieved individual's access to a company's documents, thus possibly reducing support for the complaint. Arbitrations are decided in private. Decisions are kept confidential, so consumers don't necessarily learn what the arbitrator based a decision on. And many consumer agreements call for the arbitration firm to be chosen by the company being complained about.

By Caroline E. Mayer The Washington Post. Arbitrators can limit an aggrieved individual's access to a company's documents, thus possibly reducing support for the complaint. Arbitrations are decided in private. Decisions are kept confidential, so consumers don't necessarily learn what the arbitrator based a decision on. And many consumer agreements call for the arbitration firm to be chosen by the company being complained about.