News & Analysis as of

CA Supreme Court Employment Contract

Fox Rothschild LLP

A Simple Payment Error is not a Waiver of the Right to Arbitrate

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I have some good news for California employers seeking to enforce arbitration agreements. The California Supreme Court just held that non-payment of arbitration fees does not automatically waive the right to arbitrate....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

California Supreme Court Rules FAA Does Not Preempt Arbitration Fee Deadline, Rejects Strict Penalties

On August 11, 2025, the Supreme Court of California ruled that the Federal Arbitration Act (FAA) does not preempt a state statute requiring employers to timely pay arbitration fees or forfeit the right to arbitration. The...more

Fenwick & West LLP

CA Supreme Court: Federal Arbitration Act Does Not Preempt State Law on Timely Arbitration Fee Payment

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The California Supreme Court recently held in Hohenshelt v. Superior Court that the Federal Arbitration Act (FAA) does not preempt a California law that penalizes businesses that have consumer and employee arbitration...more

CDF Labor Law LLP

CA Supreme Court Offers Relief to Employers For Unintentional Arbitration Fee Delays

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Background: The Thirty-Day Arbitration Fee Rule - In 2019, the California legislature amended the California Arbitration Act (CAA) to require the party who drafts an arbitration agreement to pay all required arbitration...more

Jenner & Block

Client Alert: Employers Beware: Employees Are Seeking Damages for Unenforceable Noncompetes

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We have seen a rise in employees going on the offensive and suing their former employers for damages for not informing them that their noncompete is invalid under the applicable state law or for exaggerating the scope of a...more

Ervin Cohen & Jessup LLP

“Prejudice” No Longer an Element to Determine Waiver of Right to Compel Arbitration

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In 2003, the California Supreme Court adopted a stringent test to determine whether an employer had waived its right to compel arbitration of an employee’s claims.  The most critical, and often determinative, factor was...more

Ervin Cohen & Jessup LLP

Severing Unconscionable Terms in Employment Arbitration Agreements

In August 2000, the California Supreme Court handed down a landmark ruling that changed the face of employment arbitration agreements going forward. That case, known as Armendariz v. Foundation Health Psychcare Services,...more

CDF Labor Law LLP

CA Supreme Court: No Three-Strikes Rule For Enforcement of Arbitration Agreements

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In a recent decision, the California Supreme Court held that courts cannot refuse to enforce arbitration agreements simply by finding that three or more provisions are unconscionable. Rather, courts must use a three-prong...more

Proskauer Rose LLP

Future Not Looking Bright For California Employee Nonsolicits

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On Jan. 1, new legislation aimed at curbing the use of unenforceable noncompete agreements took effect in California. The new laws, which impose potentially harsh consequences on employers for requiring employees to sign...more

Faegre Drinker Biddle & Reath LLP

Are You Ready? Notice to Employees of Void CA Non-Competes Required by February 14, 2024

California law has for many years treated agreements that restrain one from engaging in a lawful profession, trade, or business as void and unenforceable, unless an exception applies. This applies to most non-compete and...more

Holland & Knight LLP

California's New Nationwide Focus on Noncompetition Agreements

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For decades, California has taken arguably the most pro-employee-mobility position on noncompetition and non-solicitation agreements in the country – generally, post-employment noncompetition and non-solicitation agreements...more

CDF Labor Law LLP

Discretion: The Better Part of Valor in Defending Against PAGA Claims

CDF Labor Law LLP on

Since the U.S. Supreme Court’s decision in Viking River Cruises v. Moriana, employers have been implementing and enforcing arbitration agreements requiring employees to arbitrate their individual Private Attorneys’ General...more

Akin Gump Strauss Hauer & Feld LLP

As Supreme Court Hears Argument in Viking River Cruises, PAGA’s Most Consequential Case Faces an Uncertain Future

Today, the U.S. Supreme Court will hear oral argument in Viking River Cruises, Inc. v. Moriana, Case No. 20-1573. Wage and hour practitioners, particularly in California, have watched the case with keen interest because it...more

Allen Matkins

Breaching A Contract May Be Wrong But It Isn't Independently Wrongful

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 In 1995, the California Supreme Court held that a plaintiff pursuing a claim for interference with a prospective contractual or economic relationship had to plead that the defendant's conduct was wrongful.  Della Penna v....more

Seyfarth Shaw LLP

California Supreme Court Clarifies Pleading Requirements for Claims of Tortious Interference with At-Will Contracts and Adopts...

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Called upon by the Ninth Circuit in Ixchel Pharma, LLC v. Biogen, Inc. to answer two key questions concerning the validity of a settlement provision requiring a party’s termination of a collaboration agreement with a...more

Weintraub Tobin

The Rule Of Reasonableness: Non-Compete Provisions In California Business Contracts

Weintraub Tobin on

The California Supreme Court in the 2008 case, Edwards v. Arthur Andersen LLP, ruled that a provision in an employment agreement that prevented an employee from competing with his former employer following the termination of...more

Jackson Lewis P.C.

Update On Arbitration Agreements In California: U.S. Supreme Court Denies Certiorari In OTO, LLC v. Kho

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On June 8, 2020, the U.S. Supreme Court denied the employer’s petition for certiorari in OTO, LLC v. Kho. As background, in 2019, the California Supreme Court ruled in OTO that the arbitration agreement at issue was not...more

Skadden, Arps, Slate, Meagher & Flom LLP

Employment Flash - September 2019

This edition of Employment Flash looks at a series of recent NLRB decisions, many of which apply to all employers, not just those with unionized employees. We also discuss other U.S. federal and state labor and...more

Fisher Phillips

California Supreme Court Provides Valuable Blueprint For Your Arbitration Agreement Strategy

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The California Supreme Court recently handed down an intriguing decision which casts doubt on – and in some cases even condemns – some of the most common practices used by employers in both drafting and presenting arbitration...more

Littler

California Supreme Court Rules that the “Underpaid Wages” Component of Labor Code Section 558 is Not a Civil Penalty under PAGA

Littler on

In ZB, N.A. v. Superior Court of San Diego County (Lawson), the California Supreme Court held that unpaid wages are not civil penalties under California Labor Code section 558 and are therefore outside the reach of...more

Seyfarth Shaw LLP

PAGA Claims Limited to Recovery of Civil Penalties

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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

Mintz - Employment Viewpoints

California Supreme Court Delivers PAGA Win for Employers

In a significant victory for California employers who use arbitration agreements, the California Supreme Court ruled (ZB, N.A. et al. v. Superior Court of San Diego County, S246711 (September 12, 2019)) that the recovery of...more

Carlton Fields

California Employers Win Major Damage Limitation in Wage and Hour Suits

Carlton Fields on

California employers just won a major victory this week when the California Supreme Court issued its long-awaited decision in ZB, N.A. v. Superior Court. The exposure in Private Attorneys General Act (PAGA) cases was...more

Proskauer - California Employment Law

California Supreme Court Hands Employers A Rare Victory, Trims Bloated PAGA Claims

Yesterday September 12, 2019, the California Supreme Court held that private litigants may not recover unpaid wages under the Labor Code Private Attorneys General Act (“PAGA”).  See ZB, N.A. v. Superior Court (Lawson) (Cal....more

Stokes Wagner

California Supreme Court Limits Recovery for PAGA Claims

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Are you familiar with PAGA? Do you have a PAGA claim for unpaid wages filed against you right now? If yes, this recent California Supreme Court case may apply to you. (ZB, N.A. v. Superior Court)....more

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