News & Analysis as of

Federal Arbitration Act New Legislation Preemption

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...

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

BCLP

Ninth Circuit Upholds California’s Ban on Mandatory Arbitration of Employment Disputes

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On October 10, 2019, Governor Gavin Newsom signed into law California Assembly Bill 51 (“AB 51”), with an effective date of January 1, 2020. AB 51 prohibits an employer, as a condition of employment, from requiring an...more

Ervin Cohen & Jessup LLP

Mandatory Arbitration Agreements are Unenforceable in California, Again

In a year of tough decisions for California employers, the Ninth Circuit just issued another mixed bag of legal decisions to navigate, this time regarding the enforceability of mandatory arbitration agreements. CA Labor...more

Stokes Wagner

California Law Limiting Mandatory Arbitration Agreements is Mostly Upheld by the Ninth Circuit

Stokes Wagner on

On September 15, 2021, the Ninth Circuit lifted an injunction and mostly upheld a California law, known as Assembly Bill 51 (“AB-51”), that prohibits mandatory arbitration agreements. AB-51 invalidates mandatory arbitration...more

Proskauer - California Employment Law

Federal Court Strikes Down California’s “Request Arbitration, Go to Jail” Law

On January 31, 2020, Chief United States District Judge Kimberly J. Mueller enjoined California from enforcing AB 51. This new legislation prohibits employers from requiring their employees to sign arbitration agreements....more

Littler

Federal Court Halts Enforcement of California Arbitration Law

Littler on

A California federal court has granted a preliminary injunction blocking enforcement of Assembly Bill 51, an expansive anti-arbitration law enacted in October and set to take effect on January 1, 2020....more

Epstein Becker & Green

Federal Court Extends TRO to Enjoin Enforcement of New California Arbitration Statute

Epstein Becker & Green on

As we recently wrote here, on December 29, 2019, just days before California’s new arbitration statute known as AB 51 was to go into effect, a federal judge in the United States District Court of the Eastern District of...more

Fenwick & West LLP

TRO Blocks State of California From Enforcing New Arbitration Law

Fenwick & West LLP on

U.S. District Judge Kimberly Mueller, in Sacramento on December 30, 2019, issued a temporary restraining order (TRO) blocking the state of California from enforcing AB 51, and on January 10 extended the TRO until January 31,...more

Vedder Price

TRO Halts New Arbitration Law AB51

Vedder Price on

On December 30, 2019, a federal District Court issued a Temporary Restraining Order (TRO) against the State of California temporarily enjoining the State from enforcing Assembly Bill 51 (AB 51) —the new California law...more

Seyfarth Shaw LLP

AB 51 Challenge: TRO Granted

Seyfarth Shaw LLP on

Seyfarth Synopsis: Set to take effect on January 1, 2020, AB 51 would make it unlawful for employers to impose arbitration agreements on employees as a condition of employment, even if employees are permitted to opt out. As...more

Lewitt Hackman

Employers: California Assembly Bill 51 on Hold For Now

Lewitt Hackman on

We previously highlighted Assembly Bill 51, which prohibits employers from requiring employees or applicants for employment to “waive any right, forum, or procedure for a violation” of the Fair Employment and Housing Act or...more

Dorsey & Whitney LLP

Court Temporarily Halts California’s New Ban on Mandatory Employment Arbitration Agreements

Dorsey & Whitney LLP on

On October 10, 2019, California Governor Newsom signed a bill seeking to ban employers from requiring employees or applicants to sign arbitration agreements waiving their rights under the Labor Code or the state’s...more

Fisher Phillips

Federal Court Blocks California’s Ban On Mandatory Arbitration Agreements

Fisher Phillips on

California employers just received a last-minute reprieve from complying with a newly enacted law that aims to prevent them from utilizing mandatory arbitration agreements with their employees – at least for now. A federal...more

Epstein Becker & Green

Not So Fast – Federal Court Issues TRO to Enjoin Enforcement of New California Arbitration Statute

Epstein Becker & Green on

We recently wrote about a new California law set to go into effect on January 1, 2020 that would outlaw mandatory arbitration agreements with employees....more

Littler

Enforcement of California’s Anti-Arbitration Law Put on Hold

Littler on

A federal court in California has prevented, at least for now, an expansive anti-arbitration law from taking effect on January 1, 2020.  Under Assembly Bill (AB) 51, enacted on October 10, 2019, employers cannot require...more

Parker Poe Adams & Bernstein LLP

New California Law Prohibits Mandatory Arbitration of State Law Employment Claims

On January 1, 2020, a new California law could prevent employers in that state from requiring arbitration of employment claims brought under state law. The new law was prompted by stories revealed as a result of the #MeToo...more

Proskauer - California Employment Law

California’s Arbitration Ban Challenged in Federal Court

As expected, California’s effort to ban employers from requiring employees and applicants to sign an arbitration agreement has been challenged in federal court. The lawsuit was filed by a business coalition that includes the...more

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

False Alarm? The Practical Impact of AB 51, California’s New Anti-Arbitration Statute

California recently enacted Assembly Bill (AB) 51, a law that attempts to ban certain mandatory employment arbitration agreements in the state. But what is the practical impact of AB 51 in light of its possible preemption by...more

Sheppard Mullin Richter & Hampton LLP

AB 51 – Arbitration Under Attack

On October 10, 2019, Governor Newsom signed Assembly Bill 51 (AB 51) into law. This important legislation is aimed at reversing a series of cases that allow employers to unilaterally impose pre-dispute arbitration agreements...more

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

Answers to 10 Questions About California’s Ban on Mandatory Arbitration of Statutory Employment Claims

California is set to become the only state to outlaw predispute mandatory arbitration of statutory employment claims. On October 10, 2019, Governor Gavin Newsom signed California Assembly Bill (AB) 51, which prohibits...more

Littler

California AB 51 Bans Mandatory Employment Arbitration Agreements

Littler on

On October 13, 2019, California Governor Gavin Newsom signed Assembly Bill (AB) 51 into law, banning most employment arbitration agreements in California starting January 1, 2020. This new law is expansive in scope but short...more

Lewitt Hackman

“No more arbitration for you!”: The California #MeToo Affect Continues

Lewitt Hackman on

California Governor Gavin Newsom signed groundbreaking legislation largely impacting mandatory arbitration agreements (Assembly Bill 51) and extending the deadline to file a harassment complaint from one to three years...more

Proskauer - California Employment Law

California Enacts a Raft of New Employment Laws

On Thursday, October 10, 2019, California Gov. Gavin Newsom signed into law several new measures that employers will need to comply with by January 1, 2020 and that will generally make it easier for employees to sue their...more

Epstein Becker & Green

California Governor Signs Legislation Outlawing Mandatory Arbitration Agreements with Employees

Epstein Becker & Green on

As employers with operations in California had feared, Governor Gavin Newsom has signed AB 51, which effectively outlaws mandatory arbitration agreements with employees – a new version of a bill that prior Governor Jerry...more

Epstein Becker & Green

Employers with Operations in California Must Revise Policies and Practices to Comply with New Law Outlawing Mandatory Arbitration...

Epstein Becker & Green on

As employers with operations in California had feared, Governor Gavin Newsom has signed AB 51, which effectively outlaws mandatory arbitration agreements with employees—a new version of a bill that prior Governor Jerry Brown...more

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