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Blowing Up the Arbitration Process

Attribution: Alpha Stock Images – A recent article in The New York Times recounts how some companies that use arbitration clauses are facing an onslaught of arbitration claims, with the assistance of some entrepreneurs with a financial stake in the claims. Here’s a little bit more information about two of the individuals interviewed in Read More

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Anti-Arbitration Law On Hold

AB 51 purported to ban arbitration agreements as a condition of employment, continued employment, or the receipt of any employment-related benefit, by adding new section 432.6 to the Labor Code, effective January 1, 2020. On Monday, December 30, 2019, United States District Judge Kimberly J. Mueller issued a temporary restraining order against enforcement, pending a hearing to Read More

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California Again Tries to Restrict Employment Arbitration Clauses

Governor Newsom has signed AB51 into law. The new statute purports to prohibit employers from requiring applicants or employees to waive their rights bring lawsuits to vindicate their labor and employment claims. It adds new Labor Code section 432.6, which, effective January 1, 2020, will provide: (a) A person shall not, as a condition of employment, Read More

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Court of Appeal Rules PAGA Claims Are Not Arbitrable

In Iskanian v. CLS Transportation Los Angeles, LLC, 59 Cal.4th 348 (2014), the California Supreme Court ruled that employees cannot waive their right to assert claims for Labor Code penalties brought under the Private Attorney General Act (PAGA) (Cal. Lab. Code, §§ 2699 et seq.) in any available forum. The rationale was that such claims Read More

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