California Supreme Court Expands Judicial Review of Employment Arbitration Awards
On April 26, the California Supreme Court issued a decision in the case of Pearson Dental Supplies, Inc. v. Superior Court (S167169) that will likely have resounding implications for the enforceability of arbitration awards. The case concerns an arbitration decision in which an employee’s age discrimination claim was dismissed as untimely. The arbitration agreement in question required the employee to initiate arbitration of his claims within one year. However, rather than proceeding to arbitration, the employee first pursued his claims with the California Department of Fair Employment and Housing (DFEH) and subsequently in the Superior Court. By the time the employee had finally submitted his claims to binding arbitration, more than one year had passed since his termination, and the arbitrator dismissed the action.
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