---

 [ ARCHIVE ](https://mail.citywatchla.com/index.php?option=com_content&view=category&id=16)

#  Corruption: Made in the USA

February 13 2014

Written by Jim Conn.

<a class="a2a_button_facebook"></a><a class="a2a_button_twitter"></a><a class="a2a_button_email"></a><a class="a2a_button_print"></a>[](https://www.addtoany.com/share)

***![](https://mail.citywatchla.com/images/stories/Feb-2014/12013i.png)CAPITAL AND MAIN***-We Americans don’t like to think of our country as corrupt – or at least as corrupt as Japan, whose yakuza crime syndicates have taken over much of the legitimate business sector, including providing materials for the Fukushima nuclear reactor and scooping up homeless people to work as cleanup crews there. Of course we’re not like India, where things only get done with a bribe. And hopefully we’re not as bad as Russia, where this year’s Winter Games have been called “the most corrupt in Olympic history.”

Still, corruption sure feels pervasive here. Last year the people who run the banks, insurance companies and stock brokerages contributed $10 million to the legislators who sit on the House Financial Services Committee. That body makes the rules for the finance industry. Known as a “juice committee” because membership is so lucrative, House leaders added 61 more positions to the panel, because so many Congressmen wanted to sit on it.

Closer to home, big corporations spent more than one hundred million dollars to influence legislation in California last year. Recently, a former employee of a major Sacramento lobbying firm filed a lawsuit charging that its lobbyists steered contributions from Fortune 500 companies to favored legislators, which is illegal. That’s allegedly why legislators pass watered-down bills on fracking, GMOs, pesticides, overtime and work safety regulations, as well as consumer protection.

When a legislative body passes a law that protects a business from its customers, or an employer from its employees, because the legislators are indebted to their contributors who are big corporations, that’s corruption – and its effects last a lot longer than the Winter Games.

One of Congress’ worst offenses has been the permission it granted banks and credit card companies to shield themselves from complaints by cardholders. By accepting a credit card, users agree to settle all disputes through an arbitrator selected and paid for by the company. A report from[ Public Citizen](http://www.citizen.org/publications/publicationredirect.cfm?ID=7545) in 2007 said that such arbitration found in favor of the company 97 percent of the time.

The same fine print bars consumers from appeal or from pursuing class action lawsuits. The clause says we signed away our rights when we took the card.

Another legal corporate gambit – seemingly borrowed from the credit card industry – locks individual employees into agreements precluding appeal either by class action lawsuits or other collective efforts. To be hired, workers must sign a document agreeing they will not contest their working conditions or earnings. This practice occurs in warehouses in California’s Inland Empire as well as among housing developers based in states like Texas, where one might expect such corporate misbehavior. The results leave workers legally stuck without redress.

But sometimes people fight back. A group of iron workers – the people who put rebar into concrete forms – on a job in Blythe, California, had to sign such contracts, first to get hired, then to get paid each week. They did hot, dirty, body-breaking work in temperatures up to 117 degrees, relieved themselves in filthy portable toilets that were never cleaned or emptied and slept in company provided facilities, shacks or cargo containers, while the boss called them “monkeys.” They had to sign a form saying they worked 40 hours a week and received lunch and other breaks, when in fact they worked more hours and received no breaks at all.

So, the workers walked out and one of them called a union. Now the construction trades are on the case, tracking everywhere that company holds sub-contracts, like downtown Los Angeles and Santa Monica. They offer support, throw up picket lines and organize workers. Of course, no one knows how this will actually play out. It’s a long shot that these workers will ever see the money they’ve earned, but it’s a breakthrough, because the workers stood up for themselves.

Now there’s another opening for credit card holders. The new federal [Consumer Financial Protection Bureau](http://www.consumerfinance.gov/newsroom/the-cfpb-finds-few-consumers-file-arbitration-cases/) may outlaw arbitration clauses that preclude appeal or litigation. It hasn’t happened yet, but more customer-friendly rules are under consideration.

Draconian contracts whose terms of service stack the deck against us as individuals – consumers and workers – exist because legislators are beholden to corporate donors. That’s a system of corruption, American-style.

***(Rev. Jim Conn is the founding minister of the Church in Ocean Park and served on the Santa Monica City Council and as that city's mayor. He helped found Clergy and Laity United for Economic Justice, Los Angeles. This column was posted first at ([capitalandmain.com](http://capitalandmain.com))***

***-cw***

**CityWatch**

**Vol 12 Issue 13**

**Pub: Feb 14, 2014**

 [ ![LA DWP #2 (Pay Your Bill Help)](https://mail.citywatchla.com/images/LADWP/dwp%20level%20pay%205-7-25.jpg) ](https://mail.citywatchla.com/component/banners/click/82 "LA DWP #2 (Pay Your Bill Help)")

 ![](https://mail.citywatchla.com/images/banners/signup-for-cw.png)

## Get The News In Your Email Inbox Mondays &amp; Thursdays

 Name

 [ ![Home - HHR Rent is too High - SB-2](https://mail.citywatchla.com/images/HHR/AHF-rent-too-high.jpg) ](https://mail.citywatchla.com/component/banners/click/104 "Home - HHR Rent is too High - SB-2")

 ---

##  Featured CityWatch Stories

 [ ![](https://mail.citywatchla.com/media/yootheme/cache/e3/067m-e39a930e.jpg) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33250:missing-middle-la-city-plannings-new-approach-to-attainable-housing&catid=429)

### [Missing Middle. LA City Planning’s New Approach to “Attainable” Housing](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33250:missing-middle-la-city-plannings-new-approach-to-attainable-housing&catid=429)

MY TAKE - As if Sacramento’s relentless parade of housing-streamlining legislation hasn’t disrupted Los Angeles neighbo…

 [ ![](https://mail.citywatchla.com/media/yootheme/cache/ed/068d-ed5f9acd.jpg) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33261:zuckerberg-may-finally-pay-a-price-for-preying-on-our-children&catid=375)

### [Zuckerberg May Finally Pay a Price for Preying on Our Children](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33261:zuckerberg-may-finally-pay-a-price-for-preying-on-our-children&catid=375)

IN MY VIEW - As a mother of two children who has often been on the losing side of family battles against screen time, I…

 [ ![](https://mail.citywatchla.com/media/yootheme/cache/88/068h-88c43353.jpeg) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33266:california-cant-insure-its-homes-now-sacramento-wants-to-insure-the-trees&catid=385)

### [California Can’t Insure Its Homes. Now Sacramento Wants to Insure the Trees](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33266:california-cant-insure-its-homes-now-sacramento-wants-to-insure-the-trees&catid=385)

INSURANCE EMERGENCY - California homeowners are struggling to find affordable coverage while Sacramento explores a new…

 [ ![](https://mail.citywatchla.com/media/yootheme/cache/5e/068b-5ea6d1bc.jpg) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33262:will-the-mega-merger-of-equity-residential-and-avalonbay-communities-hurt-tenants&catid=429)

### [Will the Mega-Merger of Equity Residential and AvalonBay Communities Hurt Tenants?](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33262:will-the-mega-merger-of-equity-residential-and-avalonbay-communities-hurt-tenants&catid=429)

HOUSING IS A HUMAN RIGHT - Corporate landlords Equity Residential and AvalonBay Communities have officially merged to f…

 [ ![](https://mail.citywatchla.com/media/yootheme/cache/a2/067c-a222052b.jpg) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33241:exclusive-john-mckinney-warns-city-hall-enforce-the-law-demand-accountability&catid=401)

### [EXCLUSIVE: John McKinney Warns City Hall. Enforce the Law. Demand Accountability.](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=33241:exclusive-john-mckinney-warns-city-hall-enforce-the-law-demand-accountability&catid=401)

THE BOTTOM LINE - Los Angeles has laws. It has prosecutors. It has billions of dollars flowing through City Hall. What…

---

##  [ ARCHIVE ](https://mail.citywatchla.com/index.php?option=com_content&view=category&id=16)

 [ ![](https://mail.citywatchla.com/images/stories/Apr-2018/034e.png) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=15339:early-intervention-and-jobs-are-key-to-stemming-chronic-homelessness-in-los-angeles&catid=16)### [Early Intervention and Jobs are Key to Stemming Chronic Homelessness in Los Angeles](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=15339:early-intervention-and-jobs-are-key-to-stemming-chronic-homelessness-in-los-angeles&catid=16)

### [Tucker Carlson and Gay Rightwinger Blame California Wildfires On Hiring LGBTQ People](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=18755:tucker-carlson-and-gay-rightwinger-blame-california-wildfires-on-hiring-lgbtq-people&catid=16)

### [Anti-LGBTQ Veep Just Can’t Stop Talking about Mayor Pete](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=17690:anti-lgbtq-veep-just-can-t-stop-talking-about-mayor-pete&catid=16)

 [ ![](https://mail.citywatchla.com/images/stories/Apr-2018/033j.png) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=15316:news-pulse-corrupt-system-reason-for-not-voting-in-2018-majority-wants-more-than-two-parties&catid=16)### [NEWS PULSE: ‘Corrupt System’ Reason for Not Voting in 2018 … Majority Wants More Than Two Parties](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=15316:news-pulse-corrupt-system-reason-for-not-voting-in-2018-majority-wants-more-than-two-parties&catid=16)

 [ ![](https://mail.citywatchla.com/images/stories/Jan-2016/1404d.png) ](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=10245:dead-dog-set-on-fire-sparks-fears-for-strays-in-los-angeles&catid=16)### [Dead Dog Set on Fire … Sparks Fears for Strays in Los Angeles](https://mail.citywatchla.com/index.php?option=com_content&view=article&id=10245:dead-dog-set-on-fire-sparks-fears-for-strays-in-los-angeles&catid=16)
<div data-id="1" 
	class="eb-inst eb-hide eb-emailform eb-1 eboxContentLocker"
	data-options='{"trigger":"onPageLoad","trigger_selector":"","delay":3000,"early_trigger":true,"scroll_depth":"percentage","scroll_depth_value":80,"firing_frequency":1,"reverse_scroll_close":true,"threshold":0,"close_out_viewport":false,"exit_timer":1000,"idle_time":10000,"close_on_esc":false,"animation_open":"slideInDown","animation_close":"fadeOutDown","animation_duration":400,"disable_page_scroll":true,"test_mode":false,"debug":false,"ga_tracking":true,"ga_tracking_id":"G-P16BQ7X1SW","ga_tracking_event_category":"EngageBox","ga_tracking_event_label":"Box #1 - Global Email Signup Form","auto_focus":false}'
	data-type='popup'
	>

	<button type="button" data-ebox-cmd="close" class="eb-close placement-outside" aria-label="Close">
	<img alt="close popup button" />
	<span aria-hidden="true">&times;</span>
</button>
	<div class="eb-dialog eb-formVer" role="dialog" aria-modal="true" id="dialog1" aria-label="dialog1">
		
		<button type="button" data-ebox-cmd="close" class="eb-close placement-inside" aria-label="Close">
	<img alt="close popup button" />
	<span aria-hidden="true">&times;</span>
</button>	
		<div class="eb-container">
						<div class="eb-content">
				
<form action="https://citywatchla.us2.list-manage.com/subscribe/post?u=34d69f33624fd058ee9b56516&amp;id=4bfa422f51&amp;f_id=00d6c2e1f0" class="eb" method="post" id="mcform-1" name="mcform-1" target="_blank">
			<div class="eb-form-header"><p><img src="/images/2023/06/be-a-city-watcher.png" alt="be a city watcher" width="350" height="97" loading="lazy" data-path="local-images:/2023/06/be-a-city-watcher.png"></p>
<p>Sign up to receive our special e-news blasts on Monday and Thursday evenings!</p></div>
	
					<div class="eb-field-row">

			
			
			
			<input class="eb-input" type="email" name="EMAIL"  placeholder="Email address"  id="EMAIL" value="" required>

			
		</div>
										
	<div class="eb-footer">
    	<button class="eb-btn" type="submit" name="subscribe" style="background-color:rgba(93, 183, 93, 1);color:rgba(255, 255, 255, 1)">
    		Sign up    	</button>
    </div>
</form>			</div>
		</div>
	</div>	
</div>
<div data-id="3" 
	class="eb-inst eb-hide eb-yesno eb-3 "
	data-options='{"trigger":"onScrollDepth","trigger_selector":"","delay":0,"early_trigger":false,"scroll_depth":"percentage","scroll_depth_value":80,"firing_frequency":2,"reverse_scroll_close":false,"threshold":0,"close_out_viewport":false,"exit_timer":1000,"idle_time":1000,"close_on_esc":false,"animation_open":"fadeInUp","animation_close":"fadeOut","animation_duration":300,"disable_page_scroll":false,"test_mode":false,"debug":false,"ga_tracking":true,"ga_tracking_id":"G-P16BQ7X1SW","ga_tracking_event_category":"EngageBox","ga_tracking_event_label":"Box #3 - Yes \/ No Donation Popup Box","auto_focus":false}'
	data-type='popup'
	>

	<button type="button" data-ebox-cmd="close" class="eb-close placement-outside" aria-label="Close">
	<img alt="close popup button" />
	<span aria-hidden="true">&times;</span>
</button>
	<div class="eb-dialog " role="dialog" aria-modal="true" id="dialog3" aria-label="dialog3">
		
		<button type="button" data-ebox-cmd="close" class="eb-close placement-inside" aria-label="Close">
	<img alt="close popup button" />
	<span aria-hidden="true">&times;</span>
</button>	
		<div class="eb-container">
						<div class="eb-content">
				
<div class="ebox-yes-no">
	<div class="ebox-yn-text">
		
		
		<div class="ebox-yn-headline" style="font-size:22px;color:#888888">
			<p>If you only give once a month, would you consider giving to CityWatch?</p>
<p>Your support fuels our mission to promote and facilitate civic engagement and neighborhood empowerment, and to hold area government and its politicians accountable.</p>
<p>Would you like to help? Even if you can only give $5, it will make a difference.</p>		</div>
			</div>
	
	<div class="ebox-ys-buttons" style="font-size: 16px;">
		
<a
					data-ebox-prevent="0"
		data-ebox-cmd="close"
				target="_self"
		href="https://www.citywatchla.com/donate"
		rel="noopener"
	
	
	
	
	class="ebox-ys-btn"
	style="background-color:#2ec664;color:#ffffff;min-width:100px">
	Yes
	</a>
<a
	
	
			data-ebox-cmd="close"
		href="#"
	
	
	class="ebox-ys-btn"
	style="background-color:#ef2345;color:#ffffff;min-width:100px">
	Not Right Now
	</a>	</div>

	</div>			</div>
		</div>
	</div>	
</div>