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Ninth Circuit Hears Oral Arguments On Employment Arbitration Restrictions

Seyfarth Synopsis: The legal battles over Assembly Bill 51 (AB 51)—which attempts to prohibit mandatory employment arbitration agreements - continue. The Ninth Circuit heard the much anticipated oral arguments earlier this...more

Zombie Apocalypse? Another (Unconstitutional?) California Assault on Arbitration

Seyfarth Synopsis. On Thursday, September 5, 2019, the Legislature passed AB 51. This bill would ban mandatory arbitration agreements with respect to claims under the Labor Code and the Fair Employment and Housing Act while...more

PAGA Claims Limited to Recovery of Civil Penalties

Seyfarth Synopsis: The California Supreme Court has held that an individual may not seek unpaid wages under Labor Code section 558. Section 558 can be invoked only by the Labor Commissioner or by an individual suing under...more

California Invalidates Wage Arbitration Agreement, Inviting U.S. Supreme Court Review

Seyfarth Synopsis: The California Supreme Court invalidated an employment arbitration agreement on August 29, 2019. At issue in OTO, LLC v. Kho was an agreement to arbitrate employment claims, including wage claims. Under the...more

Is California’s Latest Assault On Arbitration Constitutional?

Seyfarth Synopsis. Pending California legislation would make a mandatory arbitration agreement an unlawful practice under the Fair Employment and Housing Act, and a crime. How could that be consistent with the Federal...more

When Is a Civil Penalty Not a Civil Penalty?

Seyfarth Synopsis: Plaintiffs cannot circumvent arbitration agreements by characterizing claims for statutory damages as claims for civil penalties. The purported PAGA exemption from arbitration agreements applies only to...more

Surprisingly Good News: California Supreme Court Upholds Arbitration Agreement

Many companies doing business in California have had difficulty persuading California courts to enforce their arbitration agreements. Those courts often have used the doctrine of unconscionability to deny enforcement on the...more

“Don’t Mess with Texas” (Choice of Law Provisions)

Many companies doing business in California have implemented arbitration agreements for resolving disputes with their employees. Companies headquartered in states other than California often prefer to use the law of their own...more

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