Arbitration Agreements in Union Contracts are Enforceable; US Supreme Court in Penn Plaza v. Pyett


On April 1, 2009, the US Supreme Court ruled that arbitration agreements in union contract, where union members waive the right to file suit over age discrimination claims, and instead must submit those claims to binding arbitration, are enforceable. The case was Penn Plaza PLLC v. Pyett, 129 S.Ct. 1456 (2009). The decision generated proposed legislation in Congress to overturn the decision.

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