News & Analysis as of

California Arbitration Contract Terms

Husch Blackwell LLP

California Supreme Court Tackles Federal Preemption Issues in Employment and Consumer Arbitrations

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On August 11, 2025, the California Supreme Court issued a decision in the matter of Dana Hohenshelt v. The Superior Court of Los Angeles, ruling that the Federal Arbitration Act (“FAA”) does not preempt the California...more

Blank Rome LLP

From Rigid to Reasonable: Supreme Court Clarifies Arbitration Fee Payment Rules in California

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The California Supreme Court’s decision in Hohenshelt v. Superior Court marks an important moment for arbitration in California, particularly in the context of consumer disputes, employment disputes, and mass arbitrations....more

Paul Hastings LLP

California Supreme Court Issues Decision Addressing Whether the FAA Preempts California's Rule Governing Late Payment of...

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The California Supreme Court issued its decision in Hohenshelt v. Superior Court, addressing whether the Federal Arbitration Act (FAA) preempts California's rule governing late payment of arbitration fees, Cal. Code Civ....more

Davis Wright Tremaine LLP

California Employers Using Arbitration Agreements Want To Take Note of New Guidance From a Recent California Appellate Case

California employers often require their new hires and current employees to sign arbitration agreements ("agreements") as a condition of employment or continued employment. To be enforceable, these agreements require that the...more

Hogan Lovells

New California statute raises questions for consumer arbitration provisions, but the spectre of potential federal preemption looms...

Hogan Lovells on

California Senate Bill No. 940, which became effective January 1, 2025, places significant restrictions on arbitration provisions affecting California consumers. Under the law, consumers may void contractual provisions that...more

CDF Labor Law LLP

Unconscionable Employment Terms In Onboarding Documents Can Void Arbitration Agreements

CDF Labor Law LLP on

On June 13, 2025, a California Court of Appeal struck down an arbitration agreement because of unconscionable terms entered by the parties in a separate employment agreement, governing different dispute resolution fora and...more

Robinson+Cole Data Privacy + Security Insider

VPPA Class Action Plaintiffs May Not Waive Arbitration Goodbye

On June 13, 2025, a federal court in the Northern District of California held that a putative Video Privacy Protection Act (VPPA) class action lawsuit belonged in arbitration, thanks to the defendant company’s arbitration...more

Kilpatrick

California federal court compels arbitration based on a modified sign-in wrap agreement

Kilpatrick on

Takeaway: Terms and conditions requiring individual arbitrations can effectively end many consumer class actions. But courts rigorously scrutinize consumers’ assent to such terms, insisting upon reasonably conspicuous notice...more

Orrick, Herrington & Sutcliffe LLP

The Revival of Badie Arbitration Suits in Consumer Finance

Bilateral arbitration is under increasing attack. While businesses evaluate whether and how to update their arbitration clauses in light of the U.S. Court of Appeals for the Ninth Circuit's October decision in Heckman v. Live...more

K&L Gates LLP

California Court of Appeal Ends Headless PAGA Actions in Leeper v. Shipt

K&L Gates LLP on

The California Court of Appeal, Second Appellate District, in Leeper v. Shipt, Inc., No. B339670, 2024 WL 5251619 (Cal. Ct. App. Dec. 30, 2024) (Leeper) issued a significant decision benefiting employers seeking to enforce...more

Jackson Lewis P.C.

Ninth Circuit Upholds Arbitration For Non-Signatory Defendant

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California law is not typically seen as amiable to compelling employees to arbitrate their claims. However, in Franklin v. Community Regional Medical Center, ___ F.3d___(9th Cir. 2021), the Ninth Circuit panel upheld a motion...more

Payne & Fears

California Appellate Court Issues Guidance on Enforcing Arbitration Agreements

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While much of the world came to a halt in response to the coronavirus pandemic, the California Courts of Appeal were busy issuing important decisions on the enforceability of arbitration clauses. As the economy starts to...more

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