California Employment News: The State of Mandatory Arbitration Agreements in California Employment
Podcast: California Employment News - The State of Mandatory Arbitration Agreements in California Employment
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Arbitration Clauses in Employee Contracts and Beyond
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
The U.S. Supreme Court heard oral argument on Feb. 20, 2024, on whether food distributors are exempt from arbitration under Section 1 of the Federal Arbitration Act (FAA), governing "contracts of employment of seamen,...more
Arbitration agreements are a powerful tool used by many employers to compel the utilization of arbitration as a means of alternative dispute resolution. Arbitration allows the parties of a claim to resolve the dispute...more
On October 26, 2022, the New Jersey Appellate Division in Rourke v. Herr Foods, Inc. once again confirmed that the Federal Arbitration Act (FAA) preempts the 2019 amendment to the New Jersey Law Against Discrimination (NJLAD)...more
Agreements to submit disputes to arbitration are commonplace, with parties attempting to avoid the time, cost, and publicity involved in litigating disputes in court. To facilitate these aims, the Federal Arbitration Act (the...more
On February 10, 2022, the U.S. Senate passed the Ending Force Arbitration of Sexual Assault and Sexual Harassment Act (the “Act”, available here: H.R. 4445). President Biden is expected to sign the bill into law shortly. ...more
In a split 2-1 decision that likely raises more questions than it answers, the Ninth Circuit Court of Appeals cast some doubt upon the ability of employers to implement mandatory arbitration agreements with their employees....more
Most employers have seen the forecasts. The waves of employees let go in the COVID crisis will file a surge of employment claims. Worse, plaintiffs’ lawyers will scrutinize the many changes required by the pandemic and...more
Historically, there has been a "push and pull" between the National Labor Relations Board (Board) and employers over mandatory arbitration agreements and class action waivers. Although most of the disputes have been resolved...more
In Skuse v. Pfizer Inc., the New Jersey Supreme Court allows continued employment as a means for consent to an agreement to arbitrate and confirms online communication and delivery to employees regarding arbitration...more
Tuesday, New Jersey’s Supreme Court approved as legally binding an arbitration agreement provided to employees electronically, concluding the arbitration agreement was effectively, clearly, and unambiguously communicated to...more
Seyfarth Synopsis: Among other things, AB 51 makes it unlawful for employers to impose arbitration agreements on employees as a condition of employment, even if employees are permitted to opt out. AB 51 was quickly challenged...more
As we wrote here, United States District Court Judge Kimberly J. Mueller of the Eastern District of California wrote a brief “minute order” explaining that she was issuing a preliminary injunction to halt enforcement of...more
On February 7, 2020, the U.S. District Court for the Eastern District of California issued an order supporting its injunction of Assembly Bill 51 (AB 51), an expansive anti-arbitration law enacted in October, which was...more
Seyfarth Synopsis: After granting a temporary restraining order days before AB 51 was to go into effect, the Eastern District of California granted a motion for a preliminary injunction on January 31, 2020. An order detailing...more
On December 30, 2019, a federal judge in the Eastern District of California entered an order temporarily halting the enforcement of AB 51, California’s new anti-mandatory arbitration law. AB 51, which was set to go into...more
This past week, the EEOC withdrew its 1997 policy statement regarding mandatory binding arbitration agreements. In that policy statement, the EEOC took the position that the use of mandatory binding arbitration agreements as...more
On Dec. 16, 2019, the Equal Employment Opportunity Commission (EEOC) rescinded its 1997 policy statement on “Mandatory Binding Arbitration of Employment Discrimination Disputes as a Condition of Employment (the 1997 Policy...more
The dispute involved an arbitration related to alleged medical malpractice by doctors selected by Carnival Cruise Lines to treat a wrist injury of a Serbian employee of Carnival. The employee’s employment agreement with...more
California Governor Gavin Newsom has signed numerous pro-employee bills into law that will impact all Golden State employers starting January 1, 2020. For now, preparation and compliance planning are essential. Employers...more
In a significant decision for employers, the National Labor Relations Board (NLRB) provided new guidance addressing the intersection of arbitration agreements and the National Labor Relations Act (NLRA). The NLRB’s recent...more
I have just returned from my summer sojourn in the wilds of New England catching up on rest, relaxation and reported court decisions. (Yes, I embrace my inner nerd!) Two recent court decisions dealing with mandatory...more
On June 26, 2019, Judge Denise Cote, of the Southern District of New York, granted a motion to compel arbitration of an employment discrimination, retaliation and sexual harassment claim—despite recently passed NY law, NY...more
Employers with mandatory arbitration agreements should be careful to re-affirm their commitment to such arbitration agreements in light of a recent state court decision in Texas, Adock v. Five Star Rentals/Sales, Inc., No....more
On March 18, 2019, New Jersey Governor Phil Murphy signed a new law, which, among other things, bars employers from requiring employees to sign or enforcing employment contracts that require employees to agree to waive...more