Category: Arbitration: Employment

Arbitration, Employment: Ninth Circuit Rules That Employer Violates National Labor Relations Act By Requiring Employees To Agree Not To Bring “A Concerted Legal Claim” Involving Wages, Hours, And Terms Of Employment

Judge Ikuta Dissents:  “This decision is breathtaking in its scope and in its error . . . “       The issue decided in Morris v. Ernst & Young, No. 13-16599 (9th Cir. 8/22/16) is clearly framed by the majority and dissenting opinions, and almost certainly headed for Supreme Court review.  In a majority opinion authored […]

Arbitration, Enforceability, Existence Of Agreement, Employment: Orders Denying Motions To Compel Arbitration And Staying Arbitration Survive Appeals In Fourth, Sixth, And Fifth Districts

     The next three cases show that, notwithstanding the trend to uphold agreements to arbitrate, there are still plenty of situations in which our California Courts of Appeal will agree that arbitration should be denied or stayed, and allow litigation to go forward. Tran v. Integra LifeSciences Corporation, No. G051620 (4th Dist. Div. 3 8/18/16) […]

Arbitration, Employment: Second Dist., Div. 7 Reverses Judgment Denying Petition To Compel Arbitration And First Dist., Div. 4, Affirms Order Denying Employer’s Petition To Compel Arbitration

     Notwithstanding the trend in SCOTUS to uphold arbitration agreements, including waiver of class arbitration, our next two unpublished cases show that the California courts look closely at arbitration agreements, sometimes enforcing and sometimes not enforcing arbitration agreements.  On the same day, one California Court of Appeal reversed an order denying an employer’s effort to […]

Arbitration, Existence Of Agreement: Second District, Div. 5 Holds Employee Is Bound By Arbitration Agreement He Did Not Sign–He Acknowledged Receipt And Kept On Working

Nor Was The Agreement Illusory Just Because The Agreement Provided The Employer Could Change It At Any Time.       In Harris v. Tap Worldwide, LLC, B262504 (2/5 6/22/16) (Turner, Kriegler, Kumar) (certified for partial publication, except part III(C) covering unconscionability), the Court determined that, notwithstanding that the arbitration agreement was unsigned, there was a validate […]

Arbitration, Unconscionability, Employment: California Supreme Court Holds That Carve-Out For Preliminary Injunctive Relief Does Not Make Agreement Substantively Unconscionable

The Exception To Arbitration Simply Restates Existing Law.     The California Supreme Court has ruled that an employment agreement providing for arbitration of disputes, but authorizing the parties to seek preliminary injunctive relief in the superior court, does not make the agreement one-sided and substantively unconscionable, even if employers are more likely to seek injunctive […]

Arbitration/Employment: Arbitration Award Of Fees Against Employee Losing Overtime Claim Properly Vacated Under Public Policy Exception To Arbitral Finality

  Arbitral Award Was Properly Corrected To Take Into Account That Labor Code Section 1194 Is A One-Way Fee Shifting Award.     California Attorney’s Fees posts today on  Ling v. P.F. Chang’s China Bistro, Inc., Case No. H039367 (6th Dist. Mar. 25, 2016) (published), an employment law case in which the Court of Appeal agreed […]

Arbitration, Collective Bargaining: Ninth Circuit Reversed District Court’s Order Denying Arbitration, Because Six-Month Statute of Limitations Had Not Run Under Section 301 Of The Labor Management Relations Act

Ninth Circuit Panel Blames Employer For Not Making Good Faith Effort To Address Merits Of Dispute.      SEIU United Health Care Workers-West v. Los Robles Regional Medical Center, No. 13-55672 (9th Cir. Dec. 3, 2015) (Pregerson, Parker, Nguyen) holds “that it is a breach of the duty of good faith performance under Section 301 […]

Arbitration, Employment, FAA, Burden Of Proof: Berman Hearings Are Short-Circuited By Enforceable Arbitration Provision

Keep On Truckin’ . . . In Arbitration.     We have posted before about the “Berman hearing”, named after Congressman Howard Berman, and providing workers with a procedure intended to provide “a speedy, informal, and affordable method of resolving wage claims” with the California Labor Commissioner.  Under California law, it cannot be waived.  However, if […]

Arbitration, Delegation, AAA Rules, Gateway Issues: Agreement To Conduct Arbitration Under AAA Rules Constitutes Clear And Unmistakable Evidence of Intent That Arbitrator Decides Whether To Permit Arbitration Of Class Claims

Incorporation By Reference Of AAA Rules Is The Key Here.       Plaintiffs, who worked as armed security guards, brought an employment class action against their employers Universal Protection Service, LP and Universal Services of America, Inc. (UPS).  After the trial court denied UPS’ motion to compel individual arbitration, while staying the suit pending arbitration, UPS […]

Unconscionability, Standard of Review, Employment: On Grounds Of Unconscionability, First District, Div. 4 Affirms Order Denying Employer’s Motion To Compel Arbitration

State Law Unconscionability Principles Are Not Preempted By The Federal Arbitration Act – So Long As They Do Not Uniquely Target Arbitration Agreements.       Carlson v. Home Team Pest Defense, Inc., A142219 (1/4 Aug. 17, 2015) (Ruvolo, Reardon, Streeter) (certified for publication) affirms an order denying an employer’s motion to compel arbitration, on grounds that […]