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In a highly anticipated decision, the California Supreme Court in Dana Hohenshelt v. Golden State Foods Corp. relieves some pressure for employers, holding that late payment of arbitration fees does not result in an automatic...more
Velarde v. Monroe Operations, LLC, 111 Cal. App. 5th 1009 (2025) - The Court noted “[t]here was extensive evidence of procedural unconscionability, with an adhesive contract, buried in a stack of 31 documents to be signed...more
Employers have long been scrutinized for perceived unequal bargaining power when it comes to enforcement of company-drafted arbitration agreements. Indeed, both the California legislature and the courts have aimed to protect...more
Cross Country Healthcare, Inc., a healthcare staffing company, believed that it had a “squeaky clean” Arbitration Agreement with its employees. ...more
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
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
Until the United States Supreme Court’s decision in Viking River Cruises v. Moriana in 2022, California law had established that Private Attorneys General Act (“PAGA”) claims could not be subject to binding arbitration....more
Less than a year ago, the California Supreme Court in Ramirez v. Charter Communications, Inc. opined, in the context of employment arbitration agreements, that there is no bright line rule that requires a court to refuse...more
Arzate v. Ace American Insurance Company, — Cal. Rptr. 3d — (2025) began as a familiar case: plaintiffs signed arbitration agreements (“Agreement”) with their employer that contained a class action waiver. But when a dispute...more
In a significant ruling on February 5, 2025, the U.S. Court of Appeals for the Second Circuit addressed the enforceability of an arbitration provision in an expired collective bargaining agreement (CBA) in the case of Xerox...more
The U.S. Court of Appeals for the Sixth Circuit has ruled that an arbitration provision in a plaintiff’s employment contract is binding and enforceable, even if the employer did not explain the provision or recommend the...more
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
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
Frequently, employment arbitration agreements are written with the intent to apply to future disputes between an employee, the employer and the employer’s parent and sister companies....more
Employees who sign an arbitration agreement with one company cannot avoid arbitration with related defendant-companies by arguing they were not parties to the agreement. The California Court of Appeal held that claims against...more
Departing from the ruling in Soltero v. Precise Distribution earlier this year, the California Court of Appeal in the Second District in Gonzalez v. Nowhere Beverly Hills LLC, created a split of authority regarding an alleged...more
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
A California appellate court recently denied a motion to compel arbitration, finding the agreement unconscionable in part because it (1) applied to all claims rather than just those arising from employment, (2) was unlimited...more
On July 15, 2024, the Supreme Court of California issued a decision that could provide courts in the state with significant discretion to refuse to enforce employment arbitration agreements even if only one term is determined...more
Despite its best efforts, the California Legislature has been unable to substantially curtail the popularity of employment arbitrations in California. The hostility to employment arbitration remains evident, however, among...more
Can a collective bargaining agreement (CBA) limit the authority of a labor arbitrator to determine the appropriateness of a disciplinary punishment? It can, but only when the CBA clearly says so, reiterated the Michigan Court...more
Arbitration agreements are a powerful tool used by many employers to compel the utilization of arbitration as a means of alternative dispute resolution. Arbitration allows the parties of a claim to resolve the dispute...more
In Munoz, v. Earthgrains Distribution, LLC, 2023 WL 5986129 (S.D. Cal. Sept. 13, 2023), the plaintiffs, members of a class of independent distributors of baked goods for Earthgrains and other bakeries, alleged that they were...more
On October 26, 2022, the New Jersey Appellate Division in Rourke v. Herr Foods, Inc. once again confirmed that the Federal Arbitration Act (FAA) preempts the 2019 amendment to the New Jersey Law Against Discrimination (NJLAD)...more
On July 8, 2022, in Gist v. ZoAn Management, Inc., the Oregon Supreme Court affirmed the decisions of the trial court and court of appeals granting the defendants’ motion to compel arbitration. The court concluded that...more