News & Analysis as of

Mandatory Arbitration Clauses Federal Arbitration Act

New York Appellate Court Sides Against The Second Circuit And Holds Class Action Waivers Violate The NLRA

by Carlton Fields on

Plaintiffs, former insurance agents for defendants New York Life Insurance Company and its related companies, brought a putative class action seeking recovery for allegedly illegal wage deductions and violations of overtime...more

Unless the U.S. Supreme Court Rules Otherwise, Waivers of Collective Actions Are Not Enforceable in New York

On July 18, 2017, the First Department partially reversed the Commercial Division’s decision in Gold v. New York Life Insurance Company, No. 653923/12, 2017 BL 247192 (App. Div. 1st Dep’t July 18, 2017), a case that presented...more

New York State Appellate Court Finds Arbitration Agreement Requiring Employees to Bring Claims Individually Violates The National...

by Littler on

On July 18, 2017, in Gold v. New York Life Ins. Co., New York’s Appellate Division, First Department issued a decision that directly contradicted the decision of the U.S. Court of Appeals for the Second Circuit in Sutherland...more

New York Appeals Court Rejects Enforceability Of Class Action Waivers – But Is This Ruling Short-Lived?

by Jackson Lewis P.C. on

In an issue of first impression in the state of New York, last week the New York Supreme Court, Appellate Division (the state’s intermediate appellate court) weighed in on the enforceability of arbitration provisions that...more

New York Appellate Court Strikes Down Class Action Waivers

by Seyfarth Shaw LLP on

As our loyal readers are well aware, the U.S. Supreme Court is scheduled to hear oral argument in its Fall 2017 term regarding the enforceability of arbitration agreements with class and collective action waivers. This has...more

CFPB Issues Game-Changing Rule On Arbitration Clauses

by McGuireWoods LLP on

On Monday, July 10, 2017, the Consumer Financial Protection Bureau (CFPB) issued a game-changing final rule regarding the use of arbitration clauses in consumer contracts. The Rule is effective 60 days following its...more

InterConnect FLASH! No. 62 - Arbitration Clauses in IC Agreements: The Winds Are Shifting

by Benesch on

Recently, the First Circuit Court of Appeals in a case of first impression (Oliveira v. Prime) further demonstrated the importance of choice of law provisions in Independent Contractor Service Agreements (“ICSAs”) as they...more

New Administration Dismantles More Of Obama Arbitration Regulations

It was only a few weeks ago that this blog covered the reversal of the CMS regulation on arbitration in nursing homes. Now, the Trump Administration has altered course on two other issues of arbitration policy....more

SCOTUS Decisions May Provide A Roadmap to Enforcing Arbitration Clauses Included In Product Packaging

by Cozen O'Connor on

It is open opinion season at the U.S. Supreme Court, and two recent decisions pertaining to the enforceability of arbitration clauses provide guidance to manufacturers looking to bind consumers through the use of product...more

Sixth Circuit Finds That Mandatory Class Waiver Provisions Violate NLRA

by Saul Ewing LLP on

In a recent appeal before the United States Sixth Circuit, the Court weighed in on an increasingly controversial issue: Whether employers can require employees to agree to a mandatory arbitration provision that requires...more

California Supreme Court Punts on FAA Preemption - Court invalidates waiver of public injunctive relief, declines to address...

Last month, the California Supreme Court handed down its unanimous decision in McGill v. Citibank N.A., holding that an arbitration provision that effectively waives a consumer’s statutory right to seek public injunctive...more

California’s Supreme Court Holds Arbitration Clauses Cannot Waive Public Injunctive Relief

by Robins Kaplan LLP on

In what will likely result in a certiorari petition, the Supreme Court of California unanimously ruled that consumers cannot contractually waive their right to pursue public injunctive relief through a pre-dispute arbitration...more

Forcing the Issue? California Supreme Court Opens Door for Challenges to Mandatory Arbitration Clauses

Consistent with the historical reluctance of California courts to enforce arbitration provisions in consumer contracts, on April 6, 2017, the California Supreme Court ruled that an arbitration provision that waived an...more

Dancing On Their Own: The California Supreme Court’s Decision in McGill v. Citibank, N.A. that Class Action Waivers Do Not Apply...

On April 6, 2017, the California Supreme Court struck another blow in its contentious battle with the United States Supreme Court on the enforceability of consumer arbitration clauses subject to the Federal Arbitration Act...more

Supreme Court Decision On Arbitration Clauses Could Significantly Reduce Employer Exposure to Class Claims

by Partridge Snow & Hahn LLP on

Savvy employers always need to be on the look-out for ways to mitigate the ever-growing risks posed by increasingly burdensome state and federal employment laws. Later this year, the U.S. Supreme Court will have the chance to...more

New Jersey Court Compels Arbitration, Declines To Appoint Substitute Arbitrator Despite “Exorbitant” Administrative Fee

by Carlton Fields on

Terra Finance LLC brought an action to compel arbitration. Defendant Acrow Corporation moved to dismiss the action under Fed. R. Civ. P. 12(b)(6), arguing that the arbitration clause was unconscionable, and therefore...more

Ninth Circuit Provides More Detailed Guidance on the Enforceability of Arbitration Provisions

On January 19, 2017, the U.S. Court of Appeals for the Ninth Circuit issued an opinion in Norcia v. Samsung Telecommunications America, LLC in which it provided guidance on the enforceability of arbitration agreements in...more

Sixth Circuit Denies Arbitration in TCPA Class Action for Calls to Past Customers

by Ballard Spahr LLP on

Phone calls made by a lawn care company after the termination of a customer's contract were beyond the scope of the parties' agreement to arbitrate any claim "arising from or relating to" their contract, the U.S. Court of...more

Waiting for Gorsuch: SCOTUS Kicks Important Class-Action Waiver Case to Next Term

by Foley & Lardner LLP on

Last week, the United States Supreme Court informed litigants in Epic Systems Corp. v. Lewis that it is pushing the case to its October 2017 term. The lawsuit, which rose up through the Western District of Wisconsin and the...more

Nursing Home Arbitration Agreements: A Changing Landscape

by Fisher Phillips on

Because arbitration proceedings often offer a less costly and more efficient alternative to the burdens of protracted courtroom litigation, arbitration agreements are increasingly common in the nursing home industry. However,...more

Are Class Action Waivers Enforceable?

by Carlton Fields on

The Supreme Court granted petitions for certiorari in three lawsuits challenging the legality of arbitration agreements that bar workers from pursuing class actions. The Court consolidated the cases, Murphy Oil USA Inc., Epic...more

Two States Buck FAA Preemption, While Alabama Stays the Course

Three state supreme courts tackled arbitration law in recent weeks: Alabama, North Carolina, and Rhode Island. Rhode Island reversed a construction arbitration award because it disagreed with the arbitrator’s analysis. ...more

Arbitration Is Back on the Docket: The Supreme Court to Review the Enforceability of Class Action Waivers in Employment...

by K&L Gates LLP on

The United States Supreme Court recently granted certiorari in a trio of cases—Epic Systems Corp. v. Lewis, No. 16-285; Ernst & Young LLP v. Morris, No. 16-300; and NLRB v. Murphy Oil USA Inc., No. 16-307—to decide on a...more

Supreme Court to Hear Class Action Cases Involving Class Action Waivers and Tolling of Statutes of Limitations

The U.S. Supreme Court recently granted certiorari in class action cases involving: (1) class action waivers in employment contracts; and (2) whether filing of a securities class action tolled a statute of repose. In both...more

Supreme Court to Decide Legality of Class Action and Collective Action Waivers

by Locke Lord LLP on

On January 13, 2017, the Supreme Court agreed to consider whether employee arbitration agreements containing class/collective action waivers are unlawful and unenforceable. The Court’s decision to consider this issue portends...more

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