News & Analysis as of

Federal Arbitration Act State Labor Laws Employment Contract

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. 
Proskauer - California Employment Law

For At Least One Employer, Reliance on an Outdated Arbitration Agreement Proved to be a Losing Gamble

As we have reported time and again, California courts have applied extra scrutiny to employee arbitration agreements in recent years, and have not hesitated to deny arbitration where there is a reasonable basis for doing so. ...more

FordHarrison

New Jersey Judge Interprets EFAA As Requiring Employment Claims to Be Split Into Two Forums

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Real World Impact: A recent New Jersey Superior Court decision interpreting the federal Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (EFAA) may require New Jersey employers to defend an employee’s...more

BakerHostetler

At Long Last, California District Court Permanently Enjoins Enforcement of AB 51

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There are times when one would rather not be proven right. Nearly four years ago, a California district court invalidated AB 51, which sought to prohibit mandatory arbitration by, among other things, calling for criminal...more

Epstein Becker & Green

Ninth Circuit Rules Domino’s Truck Drivers Exempt from FAA

On July 21, 2023, a unanimous three-judge panel once again affirmed a California federal court’s ruling that the truck drivers who deliver ingredients from Domino’s Southern California Supply Chain Center to Domino’s...more

Meyers Nave

Ninth Circuit Blocks California’s AB 51, Reopening the Door for Mandatory Employment Arbitration

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Mandatory Arbitration is Alive and Well - A big win for California employers was announced February 15, 2023, when the Ninth Circuit Court of Appeals in Chamber of Commerce of the United States of America v. Bonta found...more

Polsinelli

Mandatory Arbitration Agreements Remain Valid in California

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California employers received welcome reassurance last week that they are free to require employees enter into arbitration agreements as a condition of employment. This is the result of an opinion from the Ninth Circuit last...more

Weintraub Tobin

Good News for Employers: The Federal Arbitration Act Preempts the Prohibition of Mandatory Arbitration Contracts

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On February 15, 2023, the Ninth Circuit Court of Appeals decided Chamber of Commerce v. Bonta and found that the Federal Arbitration Act (FAA) preempts California’s Assembly Bill 51 (AB 51). Background: The FAA embodies a...more

McGuireWoods LLP

Ninth Circuit Holds Federal Arbitration Act Preempts California Law Prohibiting “Forced Arbitration”

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On Feb. 15, 2023, the Ninth U.S. Circuit Court of Appeals affirmed a district court’s ruling that the Federal Arbitration Act (FAA) preempts California Assembly Bill 51 (AB 51), which made it a criminal offense for an...more

Littler

Ninth Circuit Allows Enforcement of Employment Arbitration Agreements in California

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In a significant win for California employers, the Ninth Circuit Court of Appeals, in Chamber of Commerce v. Bonta,1 affirmed a district court injunction striking down California Assembly Bill 51 (“AB 51”) as preempted by the...more

CDF Labor Law LLP

Ninth Circuit Delivers Employers a Valentine – Blocks California’s Bar to Mandatory Employment Arbitration Agreements

CDF Labor Law LLP on

The Ninth Circuit gave California employers a belated Valentine’s Day present by upholding the District Court’s injunction against enforcement of California Assembly Bill 51 (“AB 51”) because it inhibited arbitration contrary...more

Jackson Lewis P.C.

Federal Arbitration Act Preempts California Ban on Mandatory Arbitration Contracts, Ninth Circuit Holds

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The U.S. Court of Appeals for the Ninth Circuit affirmed the district court’s grant of a preliminary injunction barring enforcement of California’s Assembly Bill (AB) 51 with respect to arbitration agreements governed by the...more

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

Ninth Circuit Blocks California’s Ban on Mandatory Arbitration in Employment

On February 15, 2023, the Ninth Circuit Court of Appeals blocked a 2020 California law that attempted to prohibit employers from requiring employees and job applicants to agree to arbitration as a condition of employment. The...more

Fisher Phillips

Federal Appeals Court Blocks California’s Ban on Mandatory Arbitration Agreements: 7 Key Takeaways for Employers

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A federal appeals court just paved the way for California employers to continue utilizing mandatory arbitration agreements with employees and job applicants. You may be familiar with the litigation roller coaster of...more

Genova Burns LLC

Timing is Everything: NJ Appellate Division Compels Arbitration of Employee’s Sex Harassment Claims

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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

Ervin Cohen & Jessup LLP

Update: Challenge to California’s Arbitration Agreement Law Marches On

​​​​​​​Employers throughout California have been keenly awaiting the final decision from the 9th Circuit Court of Appeals regarding the United States Chamber of Commerce’s challenge to California Labor Code section 432.6,...more

Miles & Stockbridge P.C.

Supreme Court Considers the Reach of Workplace Arbitration Agreements

The Supreme Court has recently taken the challenge of assessing the scope and breadth of workplace arbitration provisions under the Federal Arbitration Act (“FAA”) in Viking River Cruises, Inc. v. Moriana, and Southwest...more

Ervin Cohen & Jessup LLP

Supreme Court Hears Oral Argument on Arbitrability of California's Private Attorneys’ General Act Under Federal Arbitration Act

Since the California Supreme Court’s ruling in Iskanian v. CLS Transportation Los Angeles, LLC in 2014, it has been widely understood that Private Attorneys’ General Act (“PAGA”) actions cannot be subject to employment...more

Hogan Lovells

NJ appellate court affirms: FAA preempts NJLAD prohibition on arbitration agreements

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In 2019, New Jersey amended its Law Against Discrimination (NJLAD) to include a provision purporting to ban agreements requiring employees to arbitrate claims arising under the NJLAD (Amendment). On February 15, 2022, a New...more

Ervin Cohen & Jessup LLP

Mandatory Arbitration Agreements in California: Down, But Possibly Not Out

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Businesses and attorneys alike have kept a close eye on the developments surrounding the challenge to California Assembly Bill 51 (now codified as Labor Code section 432.6). Most recently, in a 2-1 decision, the 9th Circuit...more

Proskauer - California Employment Law

California Employment Law Notes - November 2021

Ninth Circuit Resurrects California’s Anti-Arbitration Statute - Chamber of Commerce of the U.S.A. v. Bonta, 13 F.4th 766 (9th Cir. 2021) - The Ninth Circuit Court of Appeals reversed in part a 2020 preliminary...more

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

U.S. Chamber of Commerce Asks Ninth Circuit to Reconsider Ruling Upholding California’s Mandatory Employment Arbitration Ban

The battle concerning California’s Assembly Bill (AB) No. 51 - the law seeking effectively to ban mandatory employment arbitration in California - continues to rage. On October 20, 2021, the U.S. Chamber of Commerce, the...more

Fisher Phillips

The Top 18 Workplace Law Stories from September 2021

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It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

MoFo Employment Law Commentary (ELC)

Not So Fast: Ninth Circuit Resurrects Ban On Mandatory Employment Arbitration Agreements

A split panel of the Ninth Circuit vacated in part a preliminary injunction barring enforcement of AB 51, the California law banning mandatory employment arbitration agreements. But the Ninth Circuit found that the penalties...more

Polsinelli

Ninth Circuit Decision Creates Uncertainty for California Employers Using Mandatory Arbitration Agreements

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On September 15, 2021, the Ninth Circuit, in a 2-1 split decision, partially upheld a California law passed in 2019 governing the use of mandatory arbitration agreements by employers in California.  The state law, AB 51...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

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