California Employment News: The State of Mandatory Arbitration Agreements in California Employment
Podcast: California Employment News - The State of Mandatory Arbitration Agreements in California Employment
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Arbitration Clauses in Employee Contracts and Beyond
In a recent ruling, a California appeals court found an arbitration agreement with an eyewear store employee that was presented on a take-it-or-leave-it basis required an arbitrator to apply the laws of another state,...more
A state appellate court in California reversed a superior court’s denial of a massage franchisor’s motion to compel arbitration. Jane Doe #1 (I.G.) v. Massage Envy Franchising, LLC, 2023 WL 8801517 (Cal. Ct. App. Dec. 20,...more
Over the past few years, this blog has followed the California Legislature’s concerted efforts to vitiate employment arbitrations in the state. Senate Bill 365 is the next in line....more
On June 23, 2023, the Supreme Court of the United States held district court proceedings must be put on hold during an appeal on the question of whether claims are subject to arbitration. The ruling is a big win for...more
Indiana, like other states, has a strong policy favoring arbitration agreements, and Indiana courts construe arbitration clauses broadly to make matters abitrable so long as they reasonably fit within the language of the...more
A recent decision reminds parties about the need to draft dispute resolution clauses that are tailored to the parties’ agreement. The Court of Appeal recently ruled that an alternative dispute resolution (ADR) clause in...more
Once again, the California legislature's attempt to kneecap arbitration agreements in the employment arena has been swept aside by a federal court. As of February 15, 2023, California employers may continue to require...more
California employers with employees and job applicants subject to the Federal Arbitration Act (FAA) can once again require such individuals to sign arbitration agreements as a condition of employment. On February 15,...more
In another reversal of course, the US Ninth Circuit Court of Appeals cleared the way again for California employers to require arbitration agreements. The latest 2-1 decision in Chamber of Commerce v. Bonta, issued on...more
On February 9, 2023, the U.S. Court of Appeals for the Tenth Circuit refused to enforce an arbitration clause contained in an employee stock ownership plan (“ESOP”) document. In a 41-page opinion, the Court held that the ESOP...more
Avid readers of Stokes Wagner’s legal updates may be familiar with California’s Assembly Bill 51, a law that, until very recently, prohibited California employers from requiring employees or job applicants to sign arbitration...more
In Sian Participation Corp. (In Liquidation) –v- Halimeda International Limited BVIHCMAP2021/0017 (“Sian”), the Eastern Caribbean Court of Appeal again had occasion to consider (amongst a number of other things) the...more
On October 26, 2022, the New Jersey Appellate Division in Rourke v. Herr Foods, Inc. once again confirmed that the Federal Arbitration Act (FAA) preempts the 2019 amendment to the New Jersey Law Against Discrimination (NJLAD)...more
Employers throughout California have been keenly awaiting the final decision from the 9th Circuit Court of Appeals regarding the United States Chamber of Commerce’s challenge to California Labor Code section 432.6,...more
The panel of the Ninth Circuit Court of Appeals that largely upheld California’s law banning mandatory arbitration agreements in the employment context just withdrew its decision. On August 22, 2022, two of the three...more
In March 2022, we reported on landmark legislation that paved a clearer path for individuals to pursue workplace sexual harassment and sexual assault claims in court. The Ending Forced Arbitration of Sexual Assault and Sexual...more
In Morgan v. Sundance, the Supreme Court unanimously concluded this week that waiving arbitration rights does not require a showing that the party seeking to have their case heard in federal court would be prejudiced by...more
The Eleventh Circuit Court of Appeals recently affirmed the district court’s denial of a defendant’s motion to compel arbitration because the parties had mutually rescinded the settlement agreement containing the arbitration...more
Businesses and attorneys alike have kept a close eye on the developments surrounding the challenge to California Assembly Bill 51 (now codified as Labor Code section 432.6). Most recently, in a 2-1 decision, the 9th Circuit...more
The Ninth Circuit Court of Appeals has vacated a preliminary injunction issued in January 2020 that prohibited California from enforcing Assembly Bill 51 (“AB 51”), which barred employers from requiring employees to sign...more
In a split 2-1 decision that likely raises more questions than it answers, the Ninth Circuit Court of Appeals cast some doubt upon the ability of employers to implement mandatory arbitration agreements with their employees....more
Arbitration agreements are intended to expedite the legal process while minimizing fees and costs. In reality, former employees and their counsel often resist submitting their employment claims to arbitration, resulting in...more
Consumers increasingly conduct business on their phones. They create accounts and make purchases through apps on their phone. But when does a consumer create a binding contract when he conducts business on his phone? The...more
Some employers concerned about the risks and expenses that accompany employment litigation instead require their workers to agree to mandatory arbitration of employment claims. Last week, the Fourth Circuit Court of Appeals...more
Mandatory arbitration clauses for employment disputes have received a great deal of attention in recent years. In the First Circuit, there is now more clarity regarding the factors used to determine the enforceability of...more