Arbitration Agreements Class Action Arbitration Waivers

News & Analysis as of

United States Supreme Court Considering A California Appellate Court Opinion Invalidating A Class Action Arbitration Waiver

In a Special Focus article Rollie Goss previews another arbitration case coming before the United States Supreme Court involving the issue of whether a class arbitration waiver is unconscionable, and the impact of such a...more

California Legislature Targets Employment Arbitration Agreements

It is no secret that California is no friend to arbitration agreements. As the United States Supreme Court noted in its 2011 opinion in AT&T Mobility LLC v. Concepcion, “California’s courts have been more likely to hold...more

Lender’s Allegedly “One-Sided” Gift Card Arbitration Clause Questioned

On August 6, 2015, a California federal judge requested further briefing on whether the arbitration clause in a lender’s Visa gift card user agreement may be unenforceable against a putative class action plaintiff – raising...more

California Supreme Court Upholds Consumer Contract Arbitration Provision Under California’s Unconscionability Framework

In a dispute over the purchase of a car, the purchaser filed a class action in California against the car dealer, and the dealer moved to compel arbitration. The dealer invoked the arbitration agreement contained in the...more

It Is Now Easier To Draft Class Action Waivers and Arbitration Agreements

Last week, the California Supreme Court provided additional guidance as to how to draft an enforceable arbitration agreement and how Courts should analyze whether mandatory arbitration provisions can be held unconscionable...more

Surprisingly Good News: California Supreme Court Upholds Arbitration Agreement

Many companies doing business in California have had difficulty persuading California courts to enforce their arbitration agreements. Those courts often have used the doctrine of unconscionability to deny enforcement on the...more

Arbitration policies for wage and hour claims

As the number of Fair Labor Standards Act lawsuits has grown, employers have started taking notice of the power a sizable class made up of numerous employees can command. Arbitration provisions – once the realm of...more

CA Supreme Court Upholds Class Action Waivers in Long-awaited Sanchez Decision

On August 3, 2015, the California Supreme Court issued its long-awaited decision in Sanchez. v. Valencia Holding Company, LLC (2015) — Cal.4th — (Sanchez). The court provided much-needed clarity for consumers and auto finance...more

2015 Employment Bills Moving Through The CA Legislative Process

Thursday, June 5 marked the last day for bills to pass out of their house of origin in the California Legislature. Here is a summary of some key employment bills that made it through (followed by some significant bills that...more

Justices Pass on Second Opportunity to Resolve the California PAGA Divide in the Bridgestone Case

For a second time the U.S. Supreme Court declined to hear a case challenging a California Supreme Court holding that the state’s Private Attorneys General Act (PAGA) could not be waived in a mandatory arbitration agreement....more

NLRB Refuses to Approve Withdrawal of Charges Despite Settlement of Class Action Case

We know that, among many other common employer policies, the NLRB considers many mandatory arbitration agreements to be unlawful, particularly where they prohibit class or collective actions. See Murphy Oil USA, Inc., 361...more

Supreme Court Denies Review of PAGA Waiver Case… Again

In a move that will undoubtedly frustrate California employers, the United States Supreme Court has denied review of Bridgestone Retail Operations v. Milton Brown, a California Supreme Court case which held that Private...more

NLRB Holds Firm on its View that Class/Collective Action Waivers in Arbitration Agreements Violate the NLRA

Despite overwhelming judicial disapproval, the NLRB simply will not relent in its view that mandatory arbitration agreements containing class/collective action waivers violate the National Labor Relations Act....more

Arbitration Agreement With PAGA Waiver And Opt Out Provision Deemed Unenforceable

Last month, a California Court of Appeal invalidated an arbitration agreement for including a representative action waiver combined with a non-severability clause....more

Circuit Courts Address Impact of Arbitration Agreements on Labor Class and Collective Actions

In Conners v. Gusano’s Chicago Style Pizzeria, plaintiffs, former employees of defendant, brought a collective action alleging violations of the Fair Labor Standards Act. Defendant responded by implementing a binding...more

Consumer Financial Protection Bureau’s Dodd-Frank Study Scrutinizes Arbitration Agreements & Class Action Waivers

On Tuesday, the Consumer Financial Protection Bureau (“CFPB”) released its long-awaited “Arbitration Study: Report to Congress, pursuant to Dodd–Frank Wall Street Reform and Consumer Protection Act § 1028(a)”, which presents...more

UPDATE: SCOTUS Denies Petition For Cert In Iskanian

On June 24, 2014, the California Supreme Court issued a controversial decision in Iskanian v. CLS Transportation Los Angeles, LLC. While the Court in Iskanian confirmed that an express class action waiver in an employment...more

The Beginning of the End for Class Action Litigation? Why Justice Scalia and the Current Supreme Court Are Good for Business

In American Express Co. v. Italian Colors Restaurant, the Supreme Court confirmed what it had only hinted at two years earlier in AT&T Mobility, LLC v. Concepcion. In a holding authored by Justice Scalia, the Court made plain...more

Who Determines if Class Arbitration is Available? Why it Matters and Will the Supreme Court Decide

In the wake of several favorable U.S. Supreme Court decisions, companies increasingly are using arbitration agreements to control their exposure to class action liability. Although recent cases have reinforced the power of...more

Multiple PAGA Representative Claims Crumble As Federal Courts Continue To Reject Iskanian and Enforce Arbitration Agreements...

When the California Supreme Court decided Iskanian v. CLS Transp. Los Angeles, LLC, 59 Cal. 4th 348 (2014), this June, some legal commentators assumed that employees could not waive pre-litigation claims under the Private...more

Who Decides the Issue of Class Arbitration?

Two districts of the California Court of Appeal recently issued significant decisions on arbitration agreements. In a published case, the Fourth Appellate District of the California Court of Appeal held that if the...more

NLRB Reaffirms D.R. Horton Decision Invalidating Arbitral Class Action Waivers

In a controversial decision that rejects the precedent of numerous federal and state courts, the National Labor Relations Board (NLRB) has reaffirmed its earlier decision in D.R. Horton, Inc., 357 NLRB No. 184 (2012). In...more

Murphy Oil USA, Inc.: NLRB Holds on Class Action Arbitration Agreements - NLRB Reaffirms Its 2012 D.R. Horton Ruling Despite...

The National Labor Relations Board (Board) in Murphy Oil USA, Inc. and Sheila M. Hobson (Murphy Oil) refused to back away from its controversial 2012 ruling in D.R. Horton, Inc. and Michael Cuda (D.R. Horton) finding class...more

No Class Action Waivers in Arbitration Agreements, Says NLRB

The National Labor Relations Board (NLRB) has decided to follow its own oft-criticized 2012 decision in D.R. Horton, holding that arbitration agreements barring class action lawsuits about working conditions, which are signed...more

California Court Implements Iskanian, Finds Agreement Waiving Representative Claims Under PAGA Unenforceable

Ybarra v. Apartment Investment and Management Company, No. B245901 (October 7, 2014): A California Court of Appeal recently affirmed a trial court decision finding that a class action waiver provision in an employee’s...more

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