News & Analysis as of

Arbitration Employment Contract

Arbitration is a widely-used method for settling disputes between parties. During arbitration, parties submit their dispute to an impartial third person or party, usually chosen by the parties. Typically, parties... more +
Arbitration is a widely-used method for settling disputes between parties. During arbitration, parties submit their dispute to an impartial third person or party, usually chosen by the parties. Typically, parties to arbitration agree in advance to be bound by the arbitrator's decision. Arbitration is an alternative to litigation, but it shares many of the familiar features of litigation. Namely, parties to arbitration hold hearings before neutral decision-makers, present evidence and argue the merits of their position. Parties often choose arbitration due to its perceived advantages over litigation. Those perceived advantages include greater efficiency and flexibility, and lower costs. less -
Ervin Cohen & Jessup LLP

The Importance of Having an Up-To-Date Employment Arbitration Agreement

Until the United States Supreme Court’s decision in Viking River Cruises v. Moriana in 2022, California law had established that Private Attorneys General Act (“PAGA”) claims could not be subject to binding arbitration....more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

The whole job offer fiasco

I have been an ERISA attorney since 1998. More than half my career now has been in my practice for 15 years this April. For about a three-year run from 2007-2010, I had three different jobs, and the whole process of working...more

Offit Kurman

Key Trends in PAGA Arbitration Decisions: Insights for Employers and Legal Counsel

Offit Kurman on

The proliferation of wage and hour litigation in California and recent significant changes to the law have created uncertainty for employers and their lawyers alike. Both recent PAGA (Private Attorneys General Act of 2004)...more

Proskauer - California Employment Law

For At Least One Employer, Reliance on an Outdated Arbitration Agreement Proved to be a Losing Gamble

As we have reported time and again, California courts have applied extra scrutiny to employee arbitration agreements in recent years, and have not hesitated to deny arbitration where there is a reasonable basis for doing so. ...more

Ervin Cohen & Jessup LLP

Another Day, Another Dispute Between Appellate Courts Over Employment Arbitrations

The case of Parra Rodriguez v. Packers Sanitation Services LTD., LLC typifies the reason employers and employment counsel must stay on top of arbitration case developments....more

Carlton Fields

Seventh Circuit Affirms Order Compelling Arbitration, Holds Arbitration Agreement Applies to Title VII Claim

Carlton Fields on

In Retzios v. Epic Systems Corp., the Seventh Circuit Court of Appeals considered an appeal brought by the plaintiff, a former employee of Epic, who was fired after she refused to be vaccinated against COVID-19. The...more

Faegre Drinker Biddle & Reath LLP

Bipartisan Push for Speedier Labor Agreements: Senators Unveil the Faster Labor Contracts Act

On March 4, 2025, U.S. Senator Josh Hawley (R-MO), along with a bipartisan coalition of senators, introduced new legislation — the Faster Labor Contracts Act — to dramatically speed up the timeline for first contracts for...more

Ervin Cohen & Jessup LLP

Sexual Harassment Claims Preclude Arbitration Even if the Federal Arbitration Act is Not Explicitly Invoked in an Arbitration...

The Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (the “Act”), a federal law, is unique for its role in overriding the policy in favor of the enforcement of arbitration agreements.  The Act was...more

Sheppard Mullin Richter & Hampton LLP

Plaintiffs, Not Defendants, Must Initiate Arbitration

Arzate v. Ace American Insurance Company, — Cal. Rptr. 3d — (2025) began as a familiar case: plaintiffs signed arbitration agreements (“Agreement”) with their employer that contained a class action waiver. But when a dispute...more

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

Second Circuit Renders Important Decision on Vested Retiree Benefits

In a significant ruling on February 5, 2025, the U.S. Court of Appeals for the Second Circuit addressed the enforceability of an arbitration provision in an expired collective bargaining agreement (CBA) in the case of Xerox...more

CDF Labor Law LLP

Employer Not Required to Initiate Arbitration Following Court-Ordered Arbitration

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The California Court of Appeal, Second Appellate District recently issued a clarifying decision in Michelle Arzate, et al. v. ACE American Insurance Company, addressing which party is responsible for initiating arbitration...more

Seyfarth Shaw LLP

PAGA Paraphrased – Parra Rodriguez v. Packers Sanitation, Inc.

Seyfarth Shaw LLP on

The Fourth District held that a motion to compel arbitration is not the correct vehicle to challenge a plaintiff’s failure to plead the individual component of a PAGA claim affirming the Superior Court’s denial of a motion to...more

Ervin Cohen & Jessup LLP

Arbitration Fee Payment Statute Does Not Apply To Post-Dispute Arbitration Agreements

There is no greater threat to an employment arbitration than Code of Civil Procedure section 1281.98, which mandates that the party who drafted the arbitration agreement pay the fees and costs of the arbitration within 30...more

Sheppard Mullin Richter & Hampton LLP

Choice-of-Law Provisions Cannot Circumvent Ending Forced Arbitration Act, Court of Appeal Rules

On February 3, 2025, the California First District Court of Appeal held that a party to an arbitration agreement cannot rely on a choice-of-law provision to wire around the federal Ending Forced Arbitration of Sexual Assault...more

Seyfarth Shaw LLP

Plaintiffs Are Responsible for Commencing Court-Ordered Arbitration

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The California Court of Appeal held that after the employer-defendant successfully moved to compel arbitration of the plaintiffs’ employment-related claims, the employer-defendant did not waive its right to arbitration by...more

Vedder Price

Federal District Court Says Class and Collective Action Waiver Survives Unenforceable Arbitration Agreement

Vedder Price on

On February 12, 2025, the U.S. District Court for the District of Oregon issued an important decision in Porteous v. Flowers Foods, Inc. regarding the enforceability of class and collective action waivers contained in...more

Littler

The Sixth Circuit Rules on Arbitration Clause Enforcement

Littler on

The U.S. Court of Appeals for the Sixth Circuit has ruled that an arbitration provision in a plaintiff’s employment contract is binding and enforceable, even if the employer did not explain the provision or recommend the...more

Ervin Cohen & Jessup LLP

Every PAGA Action Has An Individual Component Which May Be Subject To Arbitration

Prior to the United States Supreme Court’s decision in Viking River Cruises Inc. v. Moriana, California courts did not consider the components of a Private Attorneys General Act (“PAGA”) claim. ...more

Carlton Fields

Eleventh Circuit Holds Arbitration Agreement Unenforceable Against Spouse of Former Employee

Carlton Fields on

In Lubin v. Starbucks Corp., the Eleventh Circuit Court of Appeals considered defendant Starbucks’ appeal of an order denying its motion to compel arbitration of the plaintiffs’ lawsuit alleging that Starbucks sent deficient...more

Ervin Cohen & Jessup LLP

Equitable Estoppel Can Be Invoked By a Non-Signatory Joint Employer to Compel Arbitration

Tell me if you have heard this one before: ten companies are sued by a former employee as “joint employers”, even though the employee technically worked for, and signed a binding arbitration agreement with, only one of them....more

K&L Gates LLP

California Court of Appeal Ends Headless PAGA Actions in Leeper v. Shipt

K&L Gates LLP on

The California Court of Appeal, Second Appellate District, in Leeper v. Shipt, Inc., No. B339670, 2024 WL 5251619 (Cal. Ct. App. Dec. 30, 2024) (Leeper) issued a significant decision benefiting employers seeking to enforce...more

Ervin Cohen & Jessup LLP

Single Sexual Harassment Claim Eliminates Arbitration of All Employment-Related Claims in the Same Case

Ervin Cohen & Jessup LLP on

In 2022, Congress enacted the “Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act” (the “Act”) which provides that, at the election of the person alleging conduct constituting a sexual harassment dispute or...more

Ervin Cohen & Jessup LLP

“Prejudice” No Longer an Element to Determine Waiver of Right to Compel Arbitration

Ervin Cohen & Jessup LLP on

In 2003, the California Supreme Court adopted a stringent test to determine whether an employer had waived its right to compel arbitration of an employee’s claims.  The most critical, and often determinative, factor was...more

CDF Labor Law LLP

Good News for Employers: California Enforces Arbitration Agreement In Favor of Non-Signatory Related Entities

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Frequently, employment arbitration agreements are written with the intent to apply to future disputes between an employee, the employer and the employer’s parent and sister companies....more

Seyfarth Shaw LLP

Arbitration Agreement Enforceable By Non-Signatory Alleged Joint-Employers

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Employees who sign an arbitration agreement with one company cannot avoid arbitration with related defendant-companies by arguing they were not parties to the agreement. The California Court of Appeal held that claims against...more

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