News & Analysis as of

Unconscionable Contracts Appeals Arbitration

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

California Appellate Decision Raises New Considerations for Arbitration Agreements

A California appellate court recently denied a motion to compel arbitration, finding the agreement unconscionable in part because it (1) applied to all claims rather than just those arising from employment, (2) was unlimited...more

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

California Appeals Court Finds Employer’s Arbitration Agreement With Cost-Sharing and Out-of-State Law Provisions Unconscionable

In a recent ruling, a California appeals court found an arbitration agreement with an eyewear store employee that was presented on a take-it-or-leave-it basis required an arbitrator to apply the laws of another state,...more

Fisher Phillips

SCOTUS Ruling Protects Top 3 Benefits of Arbitration: Key Takeaways for Employers

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Employers seeking to move workplace claims from the courthouse to arbitration received some good news Friday from the U.S. Supreme Court. If a trial court denies a party’s request to compel arbitration, the court must pause...more

Fisher Phillips

SCOTUS Predictions: Divided Court Will Reach Close Decision in Critical Arbitration Case

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Employers that face lawsuits from employees often seek to move such claims from the courthouse to arbitration. But what happens if the trial court refuses to compel arbitration and the employer appeals the decision? Should...more

Carlton Fields

First Circuit Rejects Argument That Arbitration Clause Was Unenforceable Because Contract Containing the Clause Was Allegedly...

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The First Circuit Court of Appeals recently rejected a party’s argument that an arbitration agreement was unenforceable because the contract containing the arbitration clause had been allegedly terminated and superseded. The...more

Payne & Fears

California Appellate Court Issues Guidance on Enforcing Arbitration Agreements

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While much of the world came to a halt in response to the coronavirus pandemic, the California Courts of Appeal were busy issuing important decisions on the enforceability of arbitration clauses. As the economy starts to...more

Lewitt Hackman

Can Your Company’s Arbitration Agreement Survive an Unconscionability Inquiry?

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Concluding that TWC Dealer Group, Inc.’s arbitration agreements were both procedurally and substantively unconscionable, California’s First Appellate District’s recent decision highlights certain contractual terms and...more

Hogan Lovells

California Appellate Courts Diverge on Arbitration Agreements

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Two California Courts of Appeal came to two different conclusions on motions to compel arbitration on the same day last week (April 10), again demonstrating the care that must be taken in drafting and presenting arbitration...more

Carlton Fields

11th Circuit Compels Arbitration Despite Allegation That Arbitration Agreement Was Procedurally And Substantively Unconscionable

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This case involves a dispute between American Family Life Assurance Company of Columbus (“Aflac”) and a group of independent contractors (“associates”), arising out of alleged misrepresentations by Aflac. Pursuant to their...more

Payne & Fears

Ninth Circuit Reverses Grant of Class Certification and Denial of Motions to Compel Arbitration in Several Uber Class Actions

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In a major victory for ride-share company Uber Technologies, Inc. ("Uber"), the United States Court of Appeals for the Ninth Circuit issued its much anticipated opinion in O'Connor v. Uber Technologies, Inc., Case No....more

Burr & Forman

Court Rejects Unconscionability Challenge to Arbitration Agreement That Was “Voluntary” and Not Obligatory

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On September 4, 2018, the Mississippi Court of Appeals upheld an arbitration agreement between a nursing home and its resident. See Massey v. Oasis Health & Rehab of Yazoo City, LLC, No. 2017-CA-00086-COA, 2018 WL 4204207...more

Carlton Fields

California Court Of Appeal Remands Matter For Superior Court To Decide Issue Of Arbitrability And Whether Delegation Clause Was...

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Plaintiff argued both the delegation clause and the arbitration provision of the agreement at issue were unconscionable, requiring the trial court to resolve the merits of the challenge, which it did not. ...more

Carlton Fields

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

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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

Clark Hill PLC

In 2016 the Texas Supreme Court Continues to Favor Arbitration

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In 2016, the Texas Supreme Court issued three important opinions affecting arbitration agreements. The most significant was Hoskins v. Hoskins, 497 S.W.3d 490 (Tex. 2016). The issue in that case was whether a party seeking to...more

Carlton Fields

California Supreme Court Enforces Arbitration Agreement, Finding It Is Not Unconscionable

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In this case, a former employee of a retail store appealed to the California Supreme Court seeking reversal of an appellate court decision which found that an arbitration agreement in her employment application was not...more

Seyfarth Shaw LLP

Don’t Throw the Class Waiver Baby Out with the Arbitration Agreement Bathwater

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Sound advice that the world has lived with since 1512…until recently flushed by the Ninth Circuit. Not so quick to discard 500 years of wisdom, however, the Supreme Court has agreed to consider whether this idiom will rest in...more

Ballard Spahr LLP

California Supreme Court Upholds Arbitration Clause, but Unconscionability Remains a Defense to Arbitration

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The California Supreme Court issued its long-awaited decision in Sanchez v. Valencia Holding Company, LLC, on August 3, 2015, reversing a finding by the Court of Appeal that an arbitration provision was unconscionable...more

Sheppard Mullin Richter & Hampton LLP

The California Supreme Court Holds Consumer Class Action Waivers In Arbitration Provisions Are Enforceable Under Federal Law

On August 3, 2015, the California Supreme Court issued its long-awaited arbitration decision in Sanchez v. Valencia Holding Co., LLC, No. B228027. The Court held that the arbitration provision found in a standard form auto...more

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