PAGA

News & Analysis as of

Arbitration Agreements Can Backfire on Employers

It is no secret that arbitration agreements may greatly reduce the risks that many employers face in disputes with employees. For example, when used correctly, such agreements can curb exposure to class actions by forcing...more

The Changing Face of Employment Arbitration Agreements in California

Arbitration. A simple word, but one that, in the context of employment agreements, was typically a “dirty” word in the eyes of California courts. Indeed, for many years, state courts could be seen as openly hostile to...more

Fenwick Employment Brief - February 2015

On Premises, On-Call Time Compensable; Sleep Time Not Excluded - Emphasizing that California law provides greater protections than federal law to on-call employees, the California Supreme Court in Mendiola v. CPS...more

Managing Retail Employer Risk and the Janitorial Services Contractor-Subcontractor Relationship

Discount retailer Ross Stores, Inc.'s ("Ross") recent proposed settlement of a California labor law class action filed by immigrant and low wage subcontractors related to janitorial services performed in its Ross Dress for...more

Did You Know…PAGA Waivers Unenforceable in California Courts

The United States Supreme Court recently declined to review the California Supreme Court’s decision in Iskanian v. CLS Transportation Los Angeles, LLC. In Iskanian, the California Supreme Court held that the Federal...more

U.S. Supreme Court Denies Challenge to California Decision that PAGA Claims Cannot be Waived in Arbitration Agreements

The U.S. Supreme Court recently denied a petition for certiorari that challenged a California Supreme Court decision carving out an exception to the federal high court’s recent holdings in AT&T Mobility LLC v. Concepcion and...more

Employment Law - February 2015

No Class Action Waivers on PAGA Claims: With Cert Denial, California’s Iskanian Decision Stands - Why it matters: It’s official: The U.S. Supreme Court has declined to review the California Supreme Court’s decision in...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

No Waiver Of PAGA Representative Claims (Yet)

This week, the U.S. Supreme Court denied certiorari in connection with the California Supreme Court’s decision in Iskanian v. CLS Transportation Los Angleles, LLC. Had the Court heard the Iskanian case, it was expected to...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

The New PAGA-Waiver Trap Door

Many employers have arbitration agreements wherein employees agree to waive the right to file a lawsuit against the employer under various laws, including the California’s Private Attorney General Act (“PAGA”).  Employers...more

The Widening California Divide: The Rejection of Iskanian by Federal District Courts and Potential Resolution

In an October 22, 2014, posting, we addressed the growing divide between California federal district courts and the California Supreme Court over whether an arbitration agreement can waive an employee’s right to pursue a...more

Multiple PAGA Representative Claims Crumble As Federal Courts Continue To Reject Iskanian and Enforce Arbitration Agreements...

When the California Supreme Court decided Iskanian v. CLS Transp. Los Angeles, LLC, 59 Cal. 4th 348 (2014), this June, some legal commentators assumed that employees could not waive pre-litigation claims under the Private...more

Who Decides the Issue of Class Arbitration?

Two districts of the California Court of Appeal recently issued significant decisions on arbitration agreements. In a published case, the Fourth Appellate District of the California Court of Appeal held that if the...more

Employment Law - November 2014

State Voters Pass Paid Sick Leave, Wage Increases - Why it matters: The polls have closed and the votes are in: The midterm elections will have a significant impact on employers across the country as voters in multiple...more

California Court Implements Iskanian, Finds Agreement Waiving Representative Claims Under PAGA Unenforceable

Ybarra v. Apartment Investment and Management Company, No. B245901 (October 7, 2014): A California Court of Appeal recently affirmed a trial court decision finding that a class action waiver provision in an employee’s...more

Including PAGA Representative Action Waivers in Arbitration Agreements Post-Iskanian

After the California Supreme Court’s recent decision in Iskanian v. CLS Transportation, which held that PAGA representative action waivers are unenforceable under California law, employers have struggled with whether to...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

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