Investor Choice Act of 2026

The Investor Choice Act of 2026 aims to give retail investors more control over how they resolve disputes with financial companies by banning mandatory arbitration clauses. Specifically, the bill prohibits stock exchanges from listing securities issued by companies that force shareholders into arbitration, and it makes it illegal for brokers, dealers, and investment advisers to require clients to use arbitration or restrict their ability to join class-action lawsuits. These rules apply to new agreements made after the law is passed, while existing contracts are only voided if no arbitration process has already started. By removing these forced arbitration requirements, the legislation allows investors to choose whether to settle disputes in court or through arbitration based on their own judgment.