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IN RE: THE PRUDENTIAL INSURANCE COMPANY OF AMERICA SALES PRACTICES LITIGATION; THIS DOCUMENT RELATES TO: ALL ACTIONS
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Issues:
Private right of action.
Case Summary:
A motion is filed with the court to sort out several aspects of one of several cases involving the Prudential Insurance Company of America. Some of the cases involve policyholders who claim the company used illegal sales practices and other cases involve agents who refused to participate in the unusual practices. The company responded with a motion to compel arbitration of the various issues.
Decision of lower jurisdiction:
This is the first judicial review of this case.
Outcome:
A split decision. The United States Court for the District of New Jersey rejected the company's motion to compel arbitration. The court also dismissed the employees' complaints concerning defamation, emotional distress and retaliatory discharge.