mandatory arbitration

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When Congress passed and President Biden signed the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (“the Act”) last year, we predicted it was just the beginning of an all-out federal assault on arbitration. We weren’t wrong – so far, there are additional bills pending in Congress to exempt age and race discrimination and harassment claims from arbitration. See H.R.4120 – Protecting Older …

We invite you to review our newly-posted March 2023 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include:

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Chamber of Commerce v. Bonta, 2023 WL 2013326 (9th Cir. 2023)

A Ninth Circuit panel struck down California’s AB 51 (aka the Request Arbitration, Go to Jail Law). The law imposed civil and criminal penalties on employers that required employees to sign arbitration agreements. The same panel previously held that the Federal Arbitration Act (FAA) preempted much of the law but declined to…

It is no secret that California is no friend to arbitration agreements. As the United States Supreme Court noted in its 2011 opinion in AT&T Mobility LLC v. Concepcion, “California’s courts have been more likely to hold contracts to arbitrate unconscionable than other contracts,” despite directives from the High Court that arbitration agreements must be placed “upon the same footing as other contracts.”

Not to be outdone by the courts, the California Legislature decided to weigh in on the ongoing battle over arbitration agreements with the introduction of Assembly Bill 465 (“AB 465”) earlier this year.

Yesterday, the California Supreme Court issued its long-awaited decision in Iskanian v. CLS Transp. Los Angeles, LLC, upholding class action waivers in employment arbitration agreements. This means that the U.S. Supreme Court’s 2011 opinion in AT&T Mobility LLC v. Concepcion is to be given full force and effect in the employment setting in California. That said, however, Iskanian distinguishes the right of an employee…

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 charging sales tax for “free phones”), it has far-reaching…