News & Analysis as of

Waivers Arbitration Class Action

Amundsen Davis LLC

Silence is Not Always Golden: Land v. IU Credit Union

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The spate of class-actionGavel with Cash lawsuits against banks and credit unions (“Financial Institutions”) involving overdraft fees has prompted Indiana Financial Institutions to amend their existing account agreements to...more

Pierce Atwood LLP

District of Rhode Island Rules that Class Action Waivers are Not Enforceable Outside of Arbitration

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Earlier this month, in Elsie Metcalfe v. Grieco Hyundai, LLC, the Rhode Island Federal District Court invalidated a class action waiver in an agreement without an arbitration clause that was therefore not subject to the...more

Meyers Nave

Recent Developments Since the Viking River Cruises Decision: 5 Key Things California Employers Need To Know

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What Happens to the “Non-individual” PAGA Claims Now that Viking River Cruises Compels Arbitration of the “Individual” PAGA Claim? The U.S. Supreme Court’s 2022 decision in Viking River Cruises v. Moriana was widely seen...more

Mitchell, Williams, Selig, Gates & Woodyard,...

Arkansas Supreme Court Upholds Validity of Class-Action Waiver Clause Even In Absence of Arbitration Clause

Arbitration agreements and class-action waivers have been important tools for employers seeking to reduce expense and exposure in cases brought by employees. These legal instruments have begun to be limited, though. ...more

Stark & Stark

Use It or Lose It: Supreme Court Rules Against Special Rules Favoring Arbitration When Deciding Waiver of That Right

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On May 23, 2022, the U.S. Supreme Court, in a unanimous decision, decided Morgan v. Sundance, Inc., No. 21-328, in favor of an employee who sued her employer, a Taco Bell franchisee, for wage theft. The Court concluded that...more

Stokes Wagner

Supreme Court Rules California Employee Is Bound By Arbitration Agreement She Signed and Thus, Lacks Standing to Bring...

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On May 15, 2022, the U.S. Supreme Court issued the much-anticipated and employer-favorable ruling in Viking River Cruises v. Moriana, holding, in an 8-1 decision, that the Federal Arbitration Act (FAA) preempts the California...more

Holland & Knight LLP

U.S. Supreme Court Holds Individual PAGA Claims May Be Compelled to Arbitration

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The U.S. Supreme Court issued an 8-1 decision in Viking River Cruises, Inc. v. Moriana, 596 U.S. __ (2022) on June 15, 2022, holding that the Federal Arbitration Act (FAA) preempts the California Supreme Court ruling in...more

Benesch

Supreme Court Provides Roadmap for Avoiding Large PAGA Actions

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On June 15, 2022, in Viking River Cruises vs. Moriana, the U.S. Supreme Court ruled 8-1 (with Justice Thomas the lone dissenter) that employers can compel arbitration of an employee's individual claims regarding labor code...more

Mintz - Employment Viewpoints

The Supreme Court Strikes a Blow to PAGA: What California Employers Need to Know

The U.S. Supreme Court has given businesses with California employees the option (at least for now) to avoid employee-initiated court proceedings under California’s Private Attorneys General Act (PAGA). On June 15, 2022, the...more

Foley & Lardner LLP

Supreme Court Makes It Easier to Establish a Waiver of Arbitration through a Pursuit of Litigation

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On May 23, the Supreme Court resolved a circuit split in holding that the Federal Arbitration Act’s (FAA) “policy favoring arbitration” does not allow federal courts to create arbitration-specific federal procedural rules....more

Cozen O'Connor

Does PAGA Have Wings? Bernstein’s Threat to Interstate Airlines (ALERT)

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California’s Private Attorney’s General Act (“PAGA”) has created an extremely friendly litigation environment for employees in California. While the 2021 Ninth Circuit decision in Bernstein v. Virgin Am., Inc., 3 F.4th 1127...more

Jackson Lewis P.C.

Build Back Better Act Threatens Class and Collective Action Waivers

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The U.S. House of Representatives on November 19, 2021, passed the Build Back Better Act (H.R. 5376), ambitious climate protection/social spending legislation that now awaits deliberation in the Senate. Tucked inside the...more

BakerHostetler

Implicit Waiver of The Right to Arbitrate by Litigation – A Massachusetts District Court Addresses The Factors

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Complex cases can present difficult legal issues but may also illuminate how courts evaluate questions such as when a party has waived its right to arbitrate. This is true regardless of the type of claims presented because...more

Carlton Fields

Fifth Circuit Finds Waiver Of Arbitration Where Motion To Dismiss Argued Merits, Omitted Mention Of Arbitration, And Created...

Carlton Fields on

A consumer (Forby) filed a proposed class action in Illinois state court alleging that One Technologies, L.P. (One Tech) failed to adequately disclose that consumers who accessed their “free” online credit score on the...more

Payne & Fears

Key California Employment Law Cases: August 2017

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Arbitration - Sprunk v. Prisma LLC, No. B268755, 2017 WL 3614265 (Cal. Ct. App. Aug. 23, 2017) - Summary: Employer waived right to compel arbitration against class members by not timely pursuing arbitration. ...more

Proskauer - Minding Your Business

California Defendants Beware: Failing to Compel Arbitration Against Named Plaintiff Could Have Far-Reaching Consequences

California defendants in class actions should be wary of seeking a strategic advantage by litigating before seeking to compel arbitration. The Court of Appeal held recently in Sprunk v. Prisma LLC that a defendant in class...more

Seyfarth Shaw LLP

Agree to Arbitrate Representative Issues Much?

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Seyfarth Synopsis: When the California Supreme Court said no to PAGA waivers in its 2014 Iskanian ruling, we asked whether employers would boldly go where few have gone before and implement arbitration agreements requiring...more

Carlton Fields

Divided Third Circuit Panel Holds That Waiver Of Arbitration Clause Does Not Apply To Futile Arguments

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On July 13, 2016, a U.S. Court of Appeals for the Third Circuit panel held that an arbitration clause is not waived simply because a party failed to raise a futile argument. The case arose out of a putative class action...more

BakerHostetler

Collado v. J & G Transport, Inc. – When a Waived Right to Arbitrate is Revived

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Some may have thought that once waived, the right to arbitrate is gone forever. No so! The Eleventh Circuit decision in Collado v. J & G Transport, Inc., No. 15-14635 (11th Cir. April 21, 2016) is but the latest example. In...more

Fenwick & West LLP

Fenwick Employment Brief

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Legislative Update - Governor Brown recently signed into state law the following employment law bills (among others): SB 358—Referred to as the California Fair Pay Act, this law is directed at closing the pay...more

Morrison & Foerster LLP

Struggle At The Supreme Court Over Arbitration Clauses

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The U.S. Supreme Court returned to familiar territory last week in DirecTV Inc. v. Imburgia (argued Oct. 6, 2015): the enforceability of an arbitration clause in a consumer contract containing a class action waiver. But...more

McAfee & Taft

Arbitration policies for wage and hour claims

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As the number of Fair Labor Standards Act lawsuits has grown, employers have started taking notice of the power a sizable class made up of numerous employees can command. Arbitration provisions – once the realm of...more

Burns & Levinson LLP

How to Draft Enforceable Class Action and Other Employer-Friendly Waivers

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Porreca v. The Rose Group was a class action lawsuit brought by Carly Porreca and Charles Walton, alleging that their employer, Applebee’s Neighborhood Grill and Bar, had violated the Fair Labor Standards Act. After Porreca...more

Orrick - Employment Law and Litigation

A Welcome ‘Waive’ of Second Circuit Cases: Class Action Waivers Deemed Enforceable

For the better part of the last decade, the Second Circuit routinely and consistently struck down class action waivers in arbitration provisions....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Eighth Circuit Permits Individual Arbitration of FLSA Claims

The Eighth Circuit Court of Appeals issued an important pro-arbitration opinion last week, compelling individual arbitration of a putative Fair Labor Standards Act (FLSA) collective action. Owen v. Bristol Care, Inc., No....more

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