California Employment Law Update

Category Archives: Arbitration Agreements

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California Court Holds that Representative PAGA Claims Are Not Subject to Mandatory Arbitration

In a 2-1 decision, the California Court of Appeal held that representative actions under California’s Private Attorney General Act (PAGA) may not be waived in mandatory, pre-dispute employment arbitration agreements. (Brown v. Ralphs Grocery Co., Cal. Ct. App., No. B222689. This decision comes as something of a surprise in light of the U.S. Supreme Court’s recent ruling … Continue Reading

State Limitations On Arbitration Agreements Are Preempted By Federal Law

AT&T Mobility v. Concepcion, 131 S. Ct. 1740 (2011) In this landmark new opinion, the United States Supreme Court held that the Federal Arbitration Act (“FAA”) prohibits states from conditioning the enforceability of an arbitration agreement on the availability of class action arbitration procedures. Although this case arose in the consumer context (it involved AT&T’s … Continue Reading

U.S. Supreme Court Tips the Scales Back Toward Arbitration

In a ruling that has garnered significant interest among employers, the U.S. Supreme Court held on Wednesday that the Federal Arbitration Act (FAA) preempts the California Supreme Court’s efforts to impose heightened unconscionability standards on class action waivers in consumer arbitration agreements. This decision may also sound the death knell for similar restrictions imposed by California … Continue Reading

California Supreme Court Expands Judicial Review of Employment Arbitration Awards

A recent decision by the California Supreme Court could have resounding implications for the enforceability of arbitration awards - a matter of great concern in employment law given the prevalence of arbitration agreements governing employment relationships - and opens the door for employees to petition the courts to compel arbitrators to decide the merits of their statutory claims. … Continue Reading

Unionized Employees Were Required To Arbitrate Age Discrimination Claims

14 Penn Plaza LLC v. Pyett, 556 U.S. 247, 129 S. Ct. 1456 (2009) Plaintiffs, members of the Service Employees International Union (the “SEIU”), filed a complaint with the EEOC alleging age discrimination under the Age Discrimination in Employment Act and, after receiving their right-to-sue letters, filed suit against their employer alleging age discrimination. In … Continue Reading

Supreme Court Endorses Union-Negotiated Arbitration of Discrimination Claims

Proskauer Prevails As The Court Holds That Collectively Bargained Agreements for The Arbitration of Statutory Discrimination Claims are Enforceable On April 1, 2009, the United States Supreme Court, in a 5-4 decision, ruled in favor of Proskauer Rose’s client 14 Penn Plaza LLC, holding that a collective bargaining agreement (“CBA”) that clearly and unmistakably requires … Continue Reading
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