News & Analysis as of

Federal Arbitration Act

The Federal Arbitration Act is a United States federal statute enacted in 1925 that governs arbitration in contracts implicating interstate commerce. The Act applies in both federal and state courts. 

Proposed Bill Targets Arbitration of Sex Discrimination and Harassment Claims, Threatens Arbitration of Any Employment Disputes

by Faegre Baker Daniels on

A bipartisan bill introduced in Congress this week seeks to make it illegal for employers to enforce mandatory, pre-dispute arbitration agreements with employees alleging workplace sexual harassment or other sex-based...more

New Bill Would Outlaw Mandatory Arbitration Agreements For Sex Discrimination Disputes – Is A Poorly Constructed Bill The Right...

by BakerHostetler on

Prior bills have attempted, unsuccessfully, to eliminate individual arbitration as a means to resolve employment disputes. Senator Al Franken introduced several bills, starting in 2009, to forbid pre-dispute mandatory...more

SLOW DOWN Congress: You Are About To Render The FAA Inapplicable To Employment Disputes (And Class Waivers), And You Probably...

by Seyfarth Shaw LLP on

Seyfarth Synopsis: Pending bi-partisan legislation aimed at preventing employers from enforcing arbitration agreements of sexual harassment claims might make employers unable to enforce arbitration agreements, and class...more

Bill Would Ban Arbitration In Sex Bias Cases -- Is That A Good Idea?

On Wednesday, Sens. Kirsten Gillebrand (D-NY) and Lindsey Graham (R-SC) introduced the Ending Forced Arbitration of Sexual Harassment Act. The legislation has bipartisan support, although it's not clear yet how much. ...more

A Twist in Oil Patch Arbitration

by Gray Reed & McGraw on

Would you trust your $12 million arbitration to accountants rather than lawyers? Sometimes it makes sense. In Order_Apache v. YPF SA, delegating an accounting dispute to accountants was right. The problem was in the...more

November 2017: Seven Supreme Court Cases to Watch This Term

Justice Neil Gorsuch began his first full Term on the Supreme Court this October, with court-watchers eagerly anticipating which cases the Supreme Court will take and waiting to see how Justice Gorsuch will affect the...more

Arbitration Award For Cabbage Patch Kids Is Confirmed

What could be a better subject for a Black Friday weekend post than the Cabbage Patch Kids??! Especially if you are old enough to remember the 1980s… Whether you loved or hated the smushed-face dolls, the point of this post...more

Ninth Circuit Snubs Stolt-Nielsen, Holds Generic Employee Arbitration Agreement Permits Class-wide Arbitration

by Carlton Fields on

After an employer allegedly released personally identifiable information of its employees as the result of a phishing scam, plaintiff employee filed a putative class action lawsuit, alleging claims including negligence,...more

The Arbitration Resistance May Look Like This… (Post #300)

What happens when state courts disagree with SCOTUS’s interpretation of the Federal Arbitration Act? They resist, and they have a thousand different ways of doing so. The Mississippi Supreme Court demonstrated one way to...more

Oral Arguments Heard by the Supreme Court on Enforceability of Class Action Waivers in Arbitration Agreements

In July, we reported that the Supreme Court scheduled oral arguments to settle the circuit split of whether mandatory class action waivers violate section 7 of the National Labor Relations Act (“NLRA”). Last month, both...more

“Pink Slime” Lawsuit Spins Off into Insurance Dispute

by Akin Gump - Excubitor on

Earlier this year, ABC News, through its parent company, reached a midtrial settlement with Beef Products Inc. in the now infamous “pink slime” lawsuit. Under South Dakota food libel statutes, damages in the case could have...more

CFPB Arbitration Rule Eliminated by Congress and President

by Bilzin Sumberg on

On November 1, President Trump formally did away with a Consumer Financial Protection Bureau (CFPB) arbitration rule that would have given consumers the opportunity to file class actions against banks and other companies in...more

Is Canada Ready for Class Arbitration?

by Dentons on

Many consumer agreements in Canada contain arbitration clauses that require any dispute arising from the consumer transaction to be determined by way of private arbitration. These clauses often also preclude any form of class...more

PAGA Actions Still Cannot Be Individually Arbitrated: the U.S. Supreme Court Declines to Hear Challenge to Iskanian; Other...

by Hirschfeld Kraemer LLP on

On October 16, 2017, the U.S. Supreme Court declined to review the California Court of Appeal’s 2016 decision in Tanguilig v. Bloomingdale’s, Inc. At least for now then, the California Supreme Court’s 2012 decision in...more

Court Of Chancery Enforces Arbitration Clause Despite Designated Arbitrator’s Unavailability

by Morris James LLP on

In re Good Technology Corporation Stockholder Litigation, C.A. No. 11580-VCL (Oct. 27, 2017) - This decision resolves a unique dilemma: what to do when the contracting parties agree to an arbitration clause designating a...more

Does Arbitration Make Sense For Franchisors? A Litigator’s Perspective

by Mulcahy LLP on

Let’s face it; arbitration is not always the quicker, cheaper forum for parties to resolve their differences. Although arbitration does have the potential to be more economical and efficient than court, in practice, these...more

Employment Law - October 2017 #2

California Appellate Court Sides With Plaintiff in PAGA Suit - Why it matters - A plaintiff seeking civil penalties under the Private Attorneys General Act (PAGA) for a violation of the Labor Code is not required to...more

Consumer Data Breach: Equifax and Arbitration

by Pepper Hamilton LLP on

The latest large consumer data breach, this time involving Equifax, has also shed a sharp light on an ongoing controversy about consumers’ access to justice. In taking steps to ameliorate its PR crisis, Equifax found itself...more

Senate Kills CFPB Rule Prohibiting Class Action Waivers

by Seyfarth Shaw LLP on

Yesterday the Senate struck down a new Consumer Financial Protection Bureau (“CFPB”) rule which would have prohibited providers of financial products and services from including class action waivers in their arbitration...more

U.S. Senate Joins The House To Eliminate The CFPB’s Final Rule Against Class Action Waivers in Arbitration Clauses; The President...

by Hinshaw & Culbertson LLP on

With Vice President Pence casting a dramatic tie-breaking vote just after 10 p.m. E.D.T. on October 24th, the U.S. Senate joined the U.S. House of Representatives to eliminate, based on their authority under the Congressional...more

Congress Votes To Repeal CFPB’s Arbitration Rule

The Senate voted on Tuesday, October 24, to repeal the CFPB’s Arbitration Rule first proposed in May of 2016 and issued in its final form in July. The rule would have imposed limitations on the use of pre-dispute arbitration...more

Congress Quashes CFPB Arbitration Rule: What Next?

Pencils down. (Is the modern equivalent “cursors down”?) All the attorneys who were drafting new form consumer agreements to comply with the CFPB rule prohibiting class action waivers can now trash those documents. ...more

The CFPB Arbitration Rule Is Dead, or Is It?

By now you’ve heard that the Senate has killed the Consumer Financial Protection Bureau’s (CFPB’s) arbitration rule. Following on the heels of an earlier thumbs-down vote of the House of Representatives, the Senate voted by...more

Senate Strikes Down CFPB Arbitration Rule

by Pepper Hamilton LLP on

The short-lived rule will likely be remembered as part of the Trump Administration’s dismantling of the Obama Administration’s legacy, and as continuing the trend of courts strictly enforcing agreements to arbitrate as...more

Fifth Circuit Finds Order Not “Final” For Purposes Of Appellate Jurisdiction

by Carlton Fields on

The U.S. Court of Appeals for the Fifth Circuit held that an order compelling arbitration and staying a related action was not an appealable “final decision with respect to arbitration” under the Federal Arbitration Act...more

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