Class Action Arbitration Waivers Employment Contract

News & Analysis as of

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

A Court Abandons Horton

In February 2013, we reported on a federal court in Idaho that followed the NLRB’s D.R. Horton decision and ruled that agreements to arbitrate all claims solely on an individual basis were unenforceable. Here’s the rest of...more

Recent Cases Provide Helpful Reminders Regarding Best Practices (and Pitfalls) with Employment Arbitration Clauses

Scrutiny of mandatory, pre-employment arbitration agreements continues before California state and federal courts. Several recent decisions provide helpful reminders for employers drafting, reviewing or enforcing arbitration...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

U.S. Supreme Court Refuses to Hear Iskanian v. CLS Transportation Appeal

Last summer, the California Supreme Court ruled in Iskanian v. CLS Transportation Los Angeles, LLC that the Federal Arbitration Act (FAA) preempted California’s policy against enforcement of class action waivers in...more

High Court Says “Let It Ride”; Limo Company Fails to Flag Down Enough Justices to Hear PAGA Carve-out Case

On January 20, the United States Supreme Court denied certiorari in CLS Transportation Los Angeles LLC v. Iskanian, leaving intact a decision by the California Supreme Court holding that representative Private Attorney...more

U.S. Supreme Court Declines Review of California’s Iskanian Decision – California State and Federal Courts Remain Divided on PAGA...

The U.S. Supreme Court has declined to review California high court’s landmark decision in Iskanian v. CLS Transportation Los Angeles, which held that arbitration agreements with mandatory class waivers are generally...more

California’s Inconsistent Treatment of Pre-Dispute Waivers in Arbitration Agreements Will Remain in Place

This week, the U.S. Supreme Court declined to grant review in Iskanian v. CLS Transportation Los Angeles, LLC, leaving in place a California Supreme Court holding that pre-dispute arbitration agreements cannot require...more

U.S. Supreme Court Tires (For Now) of Playing “Whack-a-Mole” With California Over Arbitration

On January 20, 2015, the U.S. Supreme Court denied the petition for certiorari filed in CLS Transp. Los Angeles, LLC v. Iskanian, a case in which the California Supreme Court held that waivers of employees’ right to bring...more

Supremes Leave PAGA Representative Claims Intact

On January 20, 2015, the U.S. Supreme Court denied review of CLS Transportation Los Angeles, LLC v. Iskanian ("Iskanian"), a case which would have determined whether employees in California could continue to bring...more

The Supreme Court’s denial of certiorari in Iskanian only hardens the federal-state divide over PAGA claims

The divide continues between California and federal law on whether an arbitration agreement can entirely waive an employee’s ability to seek classwide or multiparty representational relief. The Supreme Court on Tuesday denied...more

PAGA Representative Claims Remain Alive After SCOTUS Denies Iskanian Review

Yesterday, the Supreme Court of the United States declined review of a state supreme court case that has sparked widespread flux in the landscape of class action arbitration waivers in California. In Iskanian v. CLS...more

NLRB Reaffirms Its D.R. Horton Decision, Ruling That Employment Agreements Requiring Individual Arbitration Are Unlawful

On February 16, 2012, we reported on the National Labor Relations Board’s D.R. Horton decision, which ruled that arbitration agreements that are signed as a condition of employment and preclude employees from bringing joint,...more

The California Divide: Federal Courts Refuse to Follow State Supreme Court’s Iskanian Decision

One of the last barriers to full enforcement of arbitration agreements with class action waivers sustained another blow last week. A California federal district court disagreed with the California Supreme Court in holding...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

Fenwick Employment Brief - July 2014

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...more

California Supreme Court Upholds Class Action Waiver In Arbitration Agreement

Finally! The California Supreme Court recently fell in line with the United States Supreme Court on the enforceability of class action waivers in arbitration agreements by upholding their enforceability. Previously, the...more

California Supreme Court: Gentry is Gone. PAGA Lives On.

Compelled by U.S. Supreme Court precedent advancing arbitration as a method of dispute resolution, the California Supreme Court in Iskanian v. CLS Transportation Los Angeles, LLC (No. S20432, June 23, 2014) held that its...more

California Supreme Court Rules that Employers Are Entitled to Include Class Action Waivers in Arbitration Agreements

In a welcome development for California businesses, the California Supreme Court issued a favorable ruling on June 23, 2014, holding that California law permits employers to require employees to sign arbitration agreements...more

eAlert - Class Action Waivers Are Enforceable According to the California Supreme Court

Class action waivers in arbitration agreements are enforceable according to a California Supreme Court decision issued yesterday. In Iskanian v. CLS Transportation Los Angeles, LLC, the California Supreme Court finally...more

California Almost Goes Along on Class Waivers

The California Supreme Court has ruled that class action waivers in employment arbitration agreements are enforceable – with one gaping exception. Iskanian v. CLS Transportation Los Angeles, L.L.C., S204032 (Cal. June 23,...more

More Good News for Class Action Waivers in Arbitration Agreements: California Supreme Court Upholds Class Action Waiver in...

On June 23, the California Supreme Court issued its first opinion upholding a class action waiver following the U.S. Supreme Court’s seminal decision in AT&T Mobility LLC v. Concepcion, 131 S. Ct. 1740 (2011). Iskanian v....more

Class Action Waivers in Employment Arbitration Agreements Enforceable - Landmark California Supreme Court Ruling Is Positive for...

In an opinion filed June 23, 2014, Iskanian v. CLS Transportation Los Angeles, LLC,(Iskanian) the California Supreme Court gave employers some relief when faced with class action suits. The court's significant decision will...more

California Employees may Waive Right to Arbitrate on Behalf of a Class, but not PAGA Claims

California Supreme Court rules the Federal Arbitration Act preempts State’s refusal to enforce class arbitration waivers on public policy or unconscionability grounds; holds PAGA claims unwaivable. On June 23, 2014,...more

California Supreme Court "Green Lights" Class Action Waivers in Arbitration Agreements

On June 23, the California Supreme Court in Iskanian v. CLS Transportation, a case involving state wage and hour claims, recognized that the U.S. Supreme Court's 2011 Concepcion decision effectively invalidated the California...more

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