April 11, 2008
The proposed rule banning motions to dismiss will hurt small member firms. It is extremely costly for small firms who are brought to arbitration. If a frivolous claim is brought before a panel, the panel should have the option to have it dismissed. We all want an efficient process, and if making motion to dismiss is being used to often and slowing down the process there are other ways to correct this. Banning the right to request a dismissal will force small firms to settle frivolous claims brought against them purely for economic reason. I believe passing this rule will slow the system further by allowing baseless claims to be brought before a panel that should be dismissed, they will be brought before the panel for the sole purpose of intimidating small firm to settle.