In the year since the SEC essentially allowed issuers launching initial public offerings to adopt mandatory arbitration clauses for securities litigation, the topic has dominated the discourse about securities litigation. But so far, the track record has failed to come anywhere near the apocalypse some predicted. Instead, the response from issuers has been tepid and in line with what SCAS forecast in a previous white paper and webinar. The reason is not hard to find. Arbitration may sound attractive in theory, but in practice it asks issuers to accept legal uncertainty, shareholder opposition, and the possibility of confronting large numbers of sophisticated investors on an individual basis….. 

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