The California legislature is notoriously hostile to mandatory arbitration agreements in the employment context. That’s because the legislature believes employers have more negotiating power than employees; thus, the arbitration agreements that employers give to employees often have one-sided terms that heavily favor the employer. The employee often feels that he has little choice and must… Read More
Posts Tagged With: FAA
U.S. Supreme Court Delivers Bombshell PAGA Ruling in Favor of Employers
On June 15, 2022, in a blockbuster case known as Viking River Cruises, Inc. v. Moriana, the U.S. Supreme Court finally answered a burning employment law issue here in California – whether California’s rule prohibiting the use of arbitration agreements to force an employee to waive her right to bring a representative action under PAGA… Read More
Federal Court Reinstates Ban on Employment Arbitration Agreements in California – For Now
In 2019, AB 51 is Passed As readers of this blog know, in 2019 the California legislature passed AB 51, a new law that added Section 432.6 to the California Labor Code. This new statute made it illegal for an employer to require an applicant or employee, as a condition of employment, to sign an… Read More
U.S. Supreme Court Issues Landmark Pro-Business Arbitration Ruling
Yesterday, the U.S. Supreme Court ruled in a 5-4 decision in AT&T Mobility LLC. v. Concepcion that the Federal Arbitration Act (“FAA”) preempts state laws that condition the enforceability of an entire class of arbitration agreements on whether or not they allow for classwide arbitration. The issue in the case was whether AT&T’s customer arbitration agreement,… Read More