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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Employment Law Now VI-114-Banning Arbitration of Sexual Harassment/Assault Claims
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Arbitration Clauses in Employee Contracts and Beyond
Landlords and property managers are increasingly adding arbitration clauses with class action waivers to their residential leases. These lease provisions can protect landlords from the significant time and costs associated...more
It is generally understood, or at least it has been in the past, that plaintiffs prefer to avoid the application of the Federal Arbitration Act (the “FAA”) and instead present their cases to juries. As such, plaintiffs have...more
The use of arbitration agreements between employers and employees is a long-standing practice that has become an integral part of employment dispute resolution across the country. Employers often use arbitration agreements...more
The U.S. Supreme Court heard oral argument on Feb. 20, 2024, on whether food distributors are exempt from arbitration under Section 1 of the Federal Arbitration Act (FAA), governing "contracts of employment of seamen,...more
There are times when one would rather not be proven right. Nearly four years ago, a California district court invalidated AB 51, which sought to prohibit mandatory arbitration by, among other things, calling for criminal...more
Hop into the time machine with me so I can take a quick victory lap before I revert to being the ever-cautious counselor. Way back in October 2019, I not-so-subtly indicated my belief that a California statute banning...more
Arbitration agreements are a powerful tool used by many employers to compel the utilization of arbitration as a means of alternative dispute resolution. Arbitration allows the parties of a claim to resolve the dispute...more
As previously discussed, courts continue to disagree over the enforceability of mandatory arbitration provisions containing class action waivers set forth in benefit plans governed by the Employee Retirement Income Security...more
Earlier last week, a group of consumer advocate organizations filed a Petition for Rulemaking with the CFPB that would prohibit the use of pre-dispute arbitration clauses in consumer contracts in favor of arbitration clauses...more
When Congress passed and President Biden signed the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (“the Act”) last year, we predicted it was just the beginning of an all-out federal assault on...more
In a much-anticipated decision, the California Supreme Court in Adolph v. Uber Technologies unanimously held that a plaintiff, compelled to arbitrate individual claims under the Private Attorneys General Act (PAGA), does not...more
In Hicks Unlimited, Inc. v. UniFirst Corporation, the Supreme Court of South Carolina agreed with a trial court ruling that the underlying contract between the parties, which included mandatory arbitration “to be governed by...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
The recent 9th Circuit opinion in US Chamber of Commerce v. Bonta struck down AB 51, determining that it was preempted by the Federal Arbitration Act. Meagan Bainbridge and Lukas Clary review how this decision impacts the use...more
The Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (the “EFAA”) has been law for just over a year. The bill was signed by President Biden on March 3, 2022, and amended the Federal Arbitration...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
On February 24, 2023 the United States District Court for the Southern District of New York held that a former employee’s arbitration agreement with his former employer was unenforceable under the Ending Forced Arbitration of...more
As of February 15, 2023, employers in California may once again require mandatory arbitration as the US Court of Appeals for the Ninth Circuit held that the Federal Arbitration Act (FAA) preempts Assembly Bill 51 (AB 51), a...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
Mandatory Arbitration Agreements for Employees Are “On” Again...for Now. Once upon a time, before a certain virus captured all of our attention, the California legislature enacted Assembly Bill 51 (AB 51), which prohibits...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 15 February 2023, the Ninth Circuit Court of Appeals (Ninth Circuit) struck down California Assembly Bill 51 (AB 51), the state’s anti-arbitration legislation, holding that the Federal Arbitration Act (FAA) “preempts AB 51...more
On February 15, 2023, a split 9th Circuit panel held that California's ban on mandatory arbitration agreements is preempted by federal law. This closely watched decision allows employers to require employees to enter into...more
The Federal Arbitration Act preempts state laws that inhibit parties from entering into arbitration agreements. In Chamber of Commerce v. Bonta, the Ninth Circuit ruled that the Federal Arbitration Act preempts...more