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Federal Arbitration Act › New Legislation › California

The Federal Arbitration Act is a United States federal statute enacted in 1925 that governs arbitration in contracts implicating interstate commerce. The Act applies in both federal and state courts. 
Hogan Lovells

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

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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

Sheppard Mullin Richter & Hampton LLP

New California Law Prohibits Automatic Stay of Trial Court Action When Appealing Denial of a Motion to Compel Arbitration

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On October 10, 2023, California Governor Newsom signed into law S.B. 365, a bill that amends California Code of Civil Procedure Section 1294. The new law provides that when a party appeals an order denying a motion to compel...more

Sheppard Mullin Richter & Hampton LLP

Ninth Circuit Upholds in Part California’s Ban on Mandatory Arbitration

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A divided Ninth Circuit panel dealt a blow to California employers recently in holding that a state law prohibiting mandatory arbitration agreements is largely not preempted by the Federal Arbitration Act (“FAA”).  California...more

Fenwick & West LLP

9th Circuit: Core Provisions of California’s AB 51 Are Not Preempted by Federal Law

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A three-judge panel of the U.S. Court of Appeals for the Ninth Circuit has issued its long-awaited ruling on the appeal of a California trial court’s injunction that prohibited the State of California from enforcing AB 51,...more

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