Bill · H.R. 9462· House(119-HR-9462)
Investor Choice Act of 2026
- Introduced
- 6/25/2026
- Last activity
- 6/25/2026 — Referred to the House Committee on Financial Services.
- Sponsored by
- Bill Foster
- Cosponsors
- - 1 - 0
- Introduced
- In Committee
What this bill would do
The Investor Choice Act of 2026 aims to amend several major securities laws. It seeks to prohibit mandatory pre-dispute arbitration agreements that force investors into specific resolution methods. Under this bill, issuers of securities would be prohibited from mandating arbitration in their bylaws or contracts. It also forbids brokers, dealers, and investment advisers from using agreements that require arbitration or restrict a client's ability to choose a legal forum. Additionally, the act prevents these entities from limiting a client's ability to pursue claims through class actions.
Yes· 3 of 5
Does this give people more protection from unfair business practices?+7
The bill enhances protection for investors by prohibiting mandatory arbitration and preserving the right to pursue class action lawsuits.
Would middle-income households be better off under this?+5
The bill provides middle-class investors more freedom to choose their dispute resolution forum.
Would households on low incomes be better off under this?+4
Protecting the right to class actions can assist low-income investors in seeking redress for small-scale fraud.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Freedom of Choice for Investors: The bill allows investors to choose between arbitration or pursuing remedies in court based on which they view as a superior option (Section 2).
-
Protection Against Forced Arbitration by Issuers: By prohibiting the listing of securities where arbitration is mandated in bylaws or contracts, the bill prevents companies from forcing shareholders into specific dispute resolution processes (Section 3, Section 4).
-
Empowerment of Clients of Financial Entities: It becomes unlawful for brokers, dealers, funding portals, municipal securities dealers, and investment advisers to enter into agreements that mandate arbitration or restrict a client's ability to select their own forum for resolving disputes (Section 3, Section 5).
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Preservation of Legal Recourse: The bill protects the ability of clients to pursue claims in an individual, representative, or class action/consolidated basis, preventing entities from restricting these legal paths (Section 3, Section 5).
Potential Negative Impacts for People
- Voiding of Existing Agreements: For agreements entered into before the Act's enactment, any provision that mandates arbitration or restricts legal forums will be considered void (Section 3, Section 5).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Middle Class Households+5Good For Low Income Households+4Good For High Income Households+3Good For Urban Residents+2
- Economy And Finance
- Improves Consumer Protection+7
- 6/25/2026
- Referred to the House Committee on Financial Services.
- 1 Cosponsor added.
- Introduced in House
5 bills Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Nydia VelázquezDemocrat · New York