Arbitration Agreements The National Labor Relations Act

News & Analysis as of

Seventh Circuit Finds Class Action Waivers in Arbitration Agreements are Illegal and Unenforceable under the NLRA

On May 26, 2016, the U.S. Court of Appeals for the Seventh Circuit issued its decision in Lewis v. Epic-Systems Corp., finding that the company's arbitration agreement, which prohibits employees from participating in “any...more

Wavering on Class Action Waivers in Arbitration Agreements

Last week’s enormous settlements of up to $100 million in class action cases against Uber were reminders of the ongoing opposition to class action and other joint action waivers in arbitration agreements. The same is true of...more

The National Labor Relations Board 2015 Year in Review - An Overview of Major Developments in Labor Law

To mark the 80th birthday of the National Labor Relations Act, the National Labor Relations Board apparently decided to make history in 2015. The Board did just that, issuing several ground breaking decisions, and in the...more

"Class Action Waivers: Are They Enforceable?"

Class action waivers in arbitration agreements continue to occupy the attention of the National Labor Relations Board (NLRB), and uncertainty in this area of law raises ongoing concerns for employers. In D.R. Horton, Inc.,...more

Supreme Court Upholds Class Action Arbitration Waivers

Employers seeking to avoid costly and often hostile juries have increasingly relied upon mandatory arbitration agreements with employees. Under these provisions, the parties agree to submit any disputes involving the...more

NLRB Won’t Take “No” For an Answer — Holds Class Action Waiver in Arbitration Agreement Unlawful Despite Two Previous Reversals at...

The NLRB has once again held that a mandatory arbitration agreement including a class/collective action waiver violates the National Labor Relations Act. With barely an acknowledgment that the Fifth Circuit reversed its last...more

Fifth Circuit (Again) Reverses NLRB and Finds Class Action Waivers in Arbitration Agreements Do Not Violate the NLRA

The battle between the NLRB and the Fifth Circuit rages on, as the Fifth Circuit again ruled that employers do not violate the National Labor Relations Act when they require employees to sign arbitration agreements containing...more

Fifth Circuit Upholds Arbitrations with Class Waivers – Gasses NLRB in Murphy Oil Case

More frequently, employers are turning to arbitration agreements to keep lawsuits out of court and prevent the threat of run-away juries. Many arbitration agreements also contain class action waivers which require employees...more

Fifth Circuit Stands Pat, Again Rejects NLRB Attempt To Void Class And Collective Action Waiver

As expected, the Fifth Circuit once again has rejected the NLRB’s highly controversial position that the National Labor Relations Act (“NLRA”) prohibits employers from requiring mandatory arbitration agreements that preclude...more

Employment Law - August 2015 #2

The Customer Isn't Always Right—Especially When He Harasses Employees: Why it matters - Providing an important reminder about the potential for liability from customers, a new lawsuit was filed against a supermarket...more

NLRB Finds Mandatory Arbitration Clause Unenforceable

An administrative law judge for the National Labor Relations Board (“Board”) found in favor of Talina Torres (“Torres”) against Employers Resource (“Employers”) after determining that an arbitration clause within an...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

NLRB Sticks To D.R. Horton

Recently in Chesapeake Energy Corp., 362 NLRB No. 80 (Apr. 30, 2015), the NLRB held fast to its ruling in D.R. Horton, Inc., 357 NLRB No. 184 (2012). The employer required its employees to sign an arbitration agreement as a...more

The National Labor Relations Board 2014 Year in Review - Overview of the Board's Significant Actions

Introduction - If the National Labor Relations Board seemed to be on the ropes in 2013, it certainly came out swinging in 2014. Last year, we reported that the Board faced a number of serious legal battles. Although...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

High-Court Showdown Looming? NLRB Defends D.R. Horton Section 7 Decision with Full-Throated Rebuttal in Murphy Oil

In the wake of federal circuit courts rejecting its position on the issue of class action waivers, the National Labor Relations Board is digging in its heels, perhaps preparing itself for a Supreme Court battle. Employers...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

Fenwick Employment Brief - August 2014

Partial-Day Leave Deductions Lawful for Exempt Employees - A California court of appeal recently confirmed that employers may require exempt employees to use accrued leave for partial-day absences, even if shorter than...more

Executive Order May Block Contractors with Labor Violations from Receiving Federal Contracts

On July 31, 2014, President Obama signed the Fair Pay and Safe Workplaces Executive Order (“Executive Order”) that requires contractors to (1) disclose recent violations of various workplace laws before being awarded federal...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

Class Claim Arbitration Waivers Win Big in Ninth Circuit

In two cases from the Ninth Circuit Court of Appeals on June 23, 2014, arbitration agreements won big on the class-claims waiver issue. This is good news for the employers operating in the Ninth Circuit, and California in...more

California Supreme Court Rules on Class Waivers

The court holds that class action waivers in arbitration agreements are enforceable but PAGA waivers are not. On June 23, the California Supreme Court issued its much-anticipated decision in Iskanian v. CLS...more

Redefining the Power of Arbitration in Unfair Labor Practice Cases: NLRB Solicited Briefs on the Issue

In line with recent efforts in the courts to define the scope of power of the arbitral forum, the National Labor Relations Board (NLRB) recently took on the issue of whether to modify the standard it applies to determine...more

NLRB Takes D.R. Horton One Step Further While the Ninth Circuit Upholds Its Contrary Decision

On January 17, 2014, the National Labor Relations Board Judge Lisa D. Thompson concluded that an agreement that did not prohibit class or collective action still violated Section 8(a)(1) of the National Labor Relations Act...more

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