News & Analysis as of

Mandatory Arbitration Clauses

Getting the Arbitrator Right

by Reed Smith on

This week the Commercial Court handed down judgment in Tonicstar Limited v (1) Allianz Insurance PLC; (2) Sirius International Insurance Corporation ( PUBL) (London Branch) [2017] EWHC 2753, a matter where the question was...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

Behavioral Advertising Company That Dropped “Zombie” Cookies Can’t Use Verizon’s Arbitration Clause To Avoid Class Action Lawsuit

The 9th Circuit Court of Appeals ruled that a non-party online behavioral advertising firm could not benefit from the arbitration clause in the agreement between Verizon and its customers because it was not a party to that...more

Following Razor-Thin Senate Vote, The Consumer Financial Protection Bureau Fails in Effort to Outlaw Class Action-Killing...

On October 24, 2017, the U.S. Senate passed a resolution disapproving the Arbitration Agreements Final Rule (“Rule”) enacted earlier this year by the Consumer Financial Protection Bureau (“CFPB”). The Rule sought to prohibit...more

Does/Should Your Company Have An Effective Arbitration Agreement?

by Nossaman LLP on

Whether your company should have an arbitration agreement will depend on a multitude of factors and is something to be carefully evaluated and discussed with counsel to make an informed decision. And, if your company already...more

Ninth Circuit Affirms Application Of Arbitration Clause Found In Amazon’s Conditions Of Use

by Carlton Fields on

Applying Washington law, the Ninth Circuit Court of Appeals affirmed a California federal court’s ruling that Amazon’s Conditions of Use (COU) created a valid contract between Amazon and its customers, and there was no...more

California Updates Its Auto-Renewal Law

by Perkins Coie on

From fashion clothing in the mail to gym memberships to monthly mobile app subscriptions, the subscription-based business model is everywhere and here to stay. As more companies adopt this model, states around the country...more

Top Five Labor Law Developments For September 2017

by Jackson Lewis P.C. on

An employer violated the National Labor Relations Act when it discharged an employee who protested an unlawful confidentiality policy, even though the employee protested without the involvement of any coworkers, the U.S....more

Court Compels Discovery, Awards Sanctions In Dispute Over Whether Reinsurance Arbitration Clause Applies

by Carlton Fields on

In 2011, Top’s Personnel entered into a reinsurance agreement with Applied Underwriters Captive Risk Assurance Company (“AUCRA”), and several years later executed a promissory note (“the Note”) in favor of a related entity,...more

What’s Next for Mandatory Arbitration Provisions?

by Shipman & Goodwin LLP on

One of the interesting strains to come out of the new round of publicity surrounding sexual harassment is a renewed focus on mandatory arbitration provisions. And it comes from an unexpected source: former Fox News anchor...more

“Opt Out” Provisions May Provide Path Forward for Class-Action Waivers in Employment Contracts

by McGuireWoods LLP on

Everyone is talking about the future of class-action waivers in employment arbitration agreements after the Supreme Court launched its new term this month with oral argument in three closely-watched cases—National Labor...more

Supreme Court Appears Split on Class Action Waivers in Employee Arbitration Agreements

by Baker Donelson on

On Monday, October 2, 2017, the U.S. Supreme Court heard oral argument in three cases involving the enforceability of employee arbitration agreements that include class/collective action waivers. Since January when the...more

Supreme Court to Resolve Current Split of Authority Over Enforceability of Class Action Waivers Contained in Mandatory Arbitration...

by Snell & Wilmer on

Many employers have implemented mandatory arbitration policies requiring that all employment related disputes be resolved through final and binding arbitration rather than in traditional court proceedings. Generally speaking,...more

The Supreme Court Hears Argument to Decide Whether Class-Action Waivers in Employment Arbitration Agreements Are Enforceable

by K&L Gates LLP on

Employers that have class- or collective-action waivers in their employee arbitration agreements (or are contemplating implementing them) need not wait much longer for the U.S. Supreme Court to decide whether such waivers are...more

U.S. Chamber of Commerce Challenges CFPB Rule Immunizing Class Actions from Arbitration Clauses

by Goodwin on

On September 29, 2017, the United States Chamber of Commerce and various business and financial services groups (collectively, Plaintiffs) filed a complaint for declaratory and injunctive relief in the United States District...more

Procedural Arbitrability Questions Are For The Arbitrator, Not The Judge, Unlike Substantive Arbitrability Questions

by Carlton Fields on

Allegations of failure to follow the contractually-required dispute resolution procedure raise “procedural questions,” which must be asked of the arbitrator. In contrast, “substantive arbitrability questions,” also referred...more

Will the Future Bring a Surge of Class Actions against Banks and Credit Card Companies?

On July 10, 2017, the Consumer Financial Protection Bureau formally issued its long-anticipated final rule banning class waivers in future arbitration agreements for banks, lenders, debt counselors, credit card issuers,...more

Ninth Circuit Rejects Claim That Amazon’s Terms and Conditions Are an Unconscionable Contract

In an unpublished opinion, the Ninth Circuit affirmed a lower court’s ruling that had sent a putative class action against Amazon over its pricing practices to arbitration, as per Amazon’s terms of service. (Wiseley v....more

NLRB About-Face Highlights Lack of Reasoning on the Class Action “Right” It Seeks to Assert

by Seyfarth Shaw LLP on

Seyfarth Synopsis: The NLRB has withdrawn the significant concession it offered at oral argument on the nature of the NLRA rights it seeks to assert in the face of employers’ mandatory arbitration programs....more

Alabama Federal Court Finds Cedent Did Not Waive Arbitration, And Orders Reinsurance Dispute To Be Arbitrated

by Carlton Fields on

Alabama Municipal Insurance Corp. (“AMIC”), an Alabama non-profit public insurer, brought suit in Alabama federal court against Munich Reinsurance America Inc. (“Munich Re”), alleging breach of a reinsurance contract for...more

SCOTUS Weighs Class Action Waivers in Employment Agreements

by Ballard Spahr LLP on

The U.S. Supreme Court heard oral argument yesterday in three cases—NLRB v. Murphy Oil USA, Epic Systems Corp. v. Lewis, and Ernst & Young, et al. v. Morris—to resolve whether arbitration provisions in employment agreements...more

Class Waivers at the Divided Supreme Court: Employers Cautiously Optimistic

by Seyfarth Shaw LLP on

Seyfarth Synopsis: Following oral argument, employers should be cautiously optimistic that the Supreme Court will allow mandatory arbitration programs containing waivers of the ability to bring collective and class actions....more

Eighth Circuit Holds That A Motion To Dismiss Based On An Arbitration Clause Is Not A Challenge To The Court’s Jurisdiction

by Carlton Fields on

A municipality sued the company that constructed its water treatment facility, in connection with contaminants found in the water supply. The parties had entered into a series of agreements which contained choice of law and...more

Employee Benefits Developments - September 2017

by Hodgson Russ LLP on

Arbitration Clause in Employee Handbook Requires Participant to Arbitrate Fiduciary Breach Claims Against Investment Advisor - Cooper v. Ruane Cunniff & Goldfarb Inc. (S.D.N.Y. 2017) - In a major victory for an...more

Future of Class Action Waivers: The Supreme Court Hears Oral Argument

On October 2, 2017, the Supreme Court of the United States heard oral argument in three consolidated cases that will decide the future of class action waivers in the employment context. These cases—National Labor Relations...more

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