On September 30, 2014, California Governor Jerry Brown signed AB 2617. This new law prohibits mandatory, pre-dispute arbitration agreements in contracts for goods and services, to the extent the agreement purports to waive rights provided by California Civil Code 51.7 (the “Ralph Civil Rights Act”) and/or 52.1 (the “Bane Civil Rights Act”). No person can… Read More
Governor Brown Signs AB 802 Requiring Arbitration Companies to Disclose Private Arbitration Stats
On September 30, 2014, California Governor Jerry Brown signed AB 802. Under this new law, which takes effect on January 1, 2015, private arbitration companies (e.g., AAA, JAMS) will be required to collect and publish certain information about private arbitrations they administer. The previously private information which must now be made publicly available includes: 1…. Read More
Governor Brown Signs AB 1522 Granting Paid Sick Leave to California Employees
Earlier today, Governor Jerry Brown signed AB 1522 guaranteeing paid sick leave to most California employees. The new law, which is entitled the “Healthy Workplaces, Healthy Families Act of 2014,” goes into effect on July 1, 2015 and covers all employers in California. Here’s a quick summary of the new law’s major provisions: 1. California… Read More
Governor Brown Signs AB 2053 Requiring Sexual Harassment Training to Include Material on Bullying
Earlier today, California Governor Jerry Brown signed AB 2053. This new law requires that mandatory sexual harassment training now include information about “abusive conduct” in the workplace. Abusive conduct is defined to include: “Conduct of an employer or employee in the workplace, with malice, that a reasonable person would find hostile, offensive, and unrelated to… Read More
“Wage Theft” a Nationwide Problem?
“Wage theft” occurs when an employer confiscates an employee’s tips or otherwise fails to properly pay an employee. It has long been recognized as a problem in California. That’s why Governor Brown signed one of the nation’s first wage theft laws, AB 469, back in 2011. You can find my prior blog post about that… Read More
Employers Who Require Employees to Use Personal Cell Phones Must Pay a “Reasonable Percentage” of the Employees’ Cell Phone Bills
California Labor Code 2802(a) requires an employer to indemnify an employee for all “necessary expenditures or losses incurred by the employee in direct consequence of the discharge of his or her duties, or of his or her obedience to the directions of the employer.” This statute essentially forces employers in California to reimburse employees for… Read More
Q1 2014 “Halo Report” Shows California Leading in Total Angel Deals
Silicon Valley Bank, the Angel Resource Institute, and CB Insights just released their Q4 2014 “Halo Report.” The report generally confirms that angel investment is increasing, with the median round size ($980K) up 31% from Q4 2013 levels ($750K). Other notable findings include: — Internet, healthcare, mobile, and telecom deals constituted almost 72% of all… Read More
Banks Making More Small Business Loans
A recent New York Times article points to signs that the lending environment is improving for small business. According to Keri Gohman, an Executive Vice President and head of small business banking for Capital One who is quoted in the article, “It’s actually a really great time to access small business capital.” The article notes… Read More
CA Supreme Court Rules Employee Can Sue Employer and Collect Damages Even Though Employee Used Fraudulent Social Security Number to Get Hired
Yesterday, the California Supreme Court ruled in Salas v. Sierra Chemical Co. that an employee who uses a false Social Security number to fraudulently obtain his job may still sue his employer for discrimination and recover damages. At issue was whether a California state statute granting employment law rights to all California residents “regardless of immigration… Read More
CA Supreme Court Upholds Class Action Waivers
In 2007, the California Supreme Court ruled in Gentry v. Superior Court that class action waivers in employment arbitration agreements are invalid under certain circumstances. Four years later, however, the United States Supreme Court reached a seemingly opposite conclusion in AT&T Mobility LLC v. Concepcion, holding that “requiring the availability of classwide arbitration interferes with fundamental… Read More
