The New Jersey Supreme Court has ruled that a provision of a consumer contract requiring arbitration of disputes is unenforceable because it used confusing and contradictory language.

In Kernahan v. Home Warranty Administrator of Florida, the defendant-appellant asked the justices to find that the arbitration clause was enforceable under the U.S. Supreme Court’s 2017 ruling in Kindred Nursing Centers v. Clark. That was after a trial judge and an appellate panel ruled the Home Warranty Administrator arbitration clause was unenforceable, relying on Atalese v. U.S. Legal Services Group, a 2014 New Jersey Supreme Court ruling that declined to enforce an arbitration provision.

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