News & Analysis as of

PAGA Claims and Arbitration – A Federal Court Parts Ways With Iskanian

The California Supreme Court’s decision in Iskanian v. CLS Transp. Los Angeles, LLC, held that class action waivers in arbitration agreements are enforceable under the Federal Arbitration Act (FAA) except as to claims that...more

Under FAA, Chicago Court Refuses To Determine Whether Claims Should Be Part Of Pending New York Arbitration

A dispute involving competing actions between two competing aeroponic farming companies, FarmedHere, LLC and Just Greens, LLC (doing business as Aero Farm Systems), was simultaneously at issue in a New York arbitration, a New...more

Arkansas and New Jersey Sidestep Concepcion Hurdle and Declare Consumer Arbitrations Invalid

Two state supreme courts found consumer arbitration agreements unenforceable in the past week: Arkansas and New Jersey. Arkansas grounded its decision on the lack of mutuality in the consumer arbitration agreement (similar to...more

Arbitration Denied In Class Action Where Plaintiff’s Trust Was A Party To Arbitration Agreement, But Plaintiff Was Not

In a life settlement transaction, in which a life insurance policy is sold by its owner to another for more than its cash-surrender value but less than the net death benefit, the seller contended that the broker and purchaser...more

End Of The World As We Know It (for Employment Arbitration)?

Cue the R.E.M folks, because the Supreme Court of Missouri issued a 4-3 opinion recently that appears to upend many employment arbitration agreements in that state. Baker v. Bristol Care, Inc., __ S.W.3d__, 2014 WL 4086378...more

Want to Arbitrate Employee Disputes? Keep Your Paperwork!

Arbitration agreements, and their use as a means to avoid class action disputes in particular, have been repeat news items in the last several years, and many companies continue to consider their use as a means to mitigate...more

Website Hyperlink Alone Does Not Establish User’s Assent to Arbitration Agreement, Ninth Circuit Holds

In a case intersecting the 89-year-old Federal Arbitration Act (FAA) and the digital era, the Ninth Circuit has ruled that a consumer who did not read the company’s terms of use when ordering a product on its website was not...more

Nitty Gritty Advice for Compelling Arbitration under the FAA

I regularly receive questions about compelling arbitration under the Federal Arbitration Act. In particular, people ask : (1) Can I file a motion to compel before any other “complaint” is filed; (2) What should I call my...more

InterConnect FLASH! No. 40 - Supreme Court Declines Swift Review - But It Is Not The End Of The Story

The U.S. Supreme Court recently declined to review the Swift worker misclassification case, which has been working its way through the courts for several years. That decision has brought up a lot of questions on the...more

Uncertainty Remains Regarding the NLRB's Position on Class and Collective Action Waivers

The law concerning class action waivers continues to develop at a rapid pace. While most courts are now enforcing class action waivers in arbitration agreements, there remains at least one prominent area of uncertainty for...more

California Supreme Court Upholds Use of Class Action Waivers in Employment Arbitration Agreements, But PAGA Claims May Not Be...

In a prior Alert dated June 11, 2012, we reported on a California appellate court decision in Iskanian v. CLS Transportation Los Angeles, LLC ("Iskanian"), which upheld the use of class and representative action waivers in...more

California Employees Can Waive Class Claims In An Arbitration Agreement, But Not PAGA Claims

Resolving an issue that has created uncertainty for California employers, the California Supreme Court recently held in Iskanian v. CLS Transportation Los Angeles, LLC that class action waivers in employment arbitration...more

Arbitration Awards—No Longer The Final Word?

Courts currently have very narrow grounds on which they can overturn an arbitration award. The Federal Arbitration Act provides that a court cannot vacate an arbitration award except in cases where: the award was procured...more

Arbitration is not just for those who have agreed…

We all know that public policy, legislation and the courts favor enforcement of agreements to resolve disputes by arbitration rather than litigation. The Federal Arbitration Act, and the states’ laws providing for...more

Appellate Courts Saving Arbitration Agreements Right and Left

In recent weeks, four federal and state appellate courts have vacated district court decisions that denied motions to compel arbitration. The courts seem to be saying to defendants with arbitration agreements: don’t worry if...more

Class Action Waivers Good in California, PAGA Waivers Perhaps

In an important decision on employment arbitration agreements with pre-dispute class and collective action waivers, in Iskanian v. CLS Transportation of Los Angeles the California Supreme Court held that U.S. Supreme Court...more

California Supreme Court Follows Trend in Enforcing Class Arbitration Waiver in Employment Setting

California often prides itself on setting trends. When it comes to class arbitration waivers, though, California is just now catching up with the rest of the country. Headlined by the U.S. Supreme Court’s ruling in AT&T...more

Three key cases in one day address the future contours of arbitration clauses in California: action steps for employers

After what seems like years of confusion, the California Supreme Court this week clarified the permissible scope of class action waivers in arbitration clauses in California on June 23 in Iskanian v. CLS Transportation Los...more

California Supreme Court Upholds Class Action Waivers in Employment Arbitration Agreements; Rules PAGA Waivers are Unenforceable

On June 23, 2014, in a highly-anticipated decision, the California Supreme Court held that class action waivers in employment arbitration agreements are enforceable, but an employee’s right to bring a representative action...more

Employment Law - June 2014 #3

Employers Win, Lose in Latest California Supreme Court Opinion on Arbitration - Why it matters: The California Supreme Court continued its complicated relationship with employment agreements and arbitration on June 23...more

Ninth Circuit’s Twin Decisions May Signal Decline in Employment Class Actions and Rise in PAGA Claims

The future of California labor and employment class actions took several blows this week. First, the Supreme Court of California issued a decision in Iskanian v. CLS Transp. L.A., LLC, No S204032 (Cal. June 23, 2014)...more

U.S. Supreme Court Asked to Decide Whether Wrongful Death Suits are Subject to Arbitration

The United States Supreme Court was recently asked to determine whether the Federal Arbitration Act (FAA) preempts a state law rule that prohibits enforcement of pre-dispute arbitration agreements in certain wrongful death...more

California Supreme Court Allows Arbitration Agreements With Class Waivers

On Monday, June 23, 2014, the California Supreme Court held in Iskanian v. CLS Transportation of Los Angeles, LLC that a state’s refusal to enforce an arbitration agreement that waives the right to class proceedings on public...more

California Supreme Court Authorizes Class Action Waivers In Arbitration Agreements

On June 23, 2014, the California Supreme Court held that employees may expressly waive their ability to bring class actions when agreeing to arbitrate disputes with their employer. In Iskanian v. CLS Transportation Los...more

Did You Know…California Supreme Court Approves Class-Action Waivers, But Disapproves PAGA Representative Claim Waivers

The California Supreme Court has issued its highly-anticipated opinion in Iskanian v. CLS Transportation Los Angeles, LLC (“Iskanian”). The decision is mixed for employers: the Court ruled that arbitration agreements...more

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