Arbitration

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By: John Phillips and Andrew Scroggins

Seyfarth Synopsis:  On March 17, the House of Representatives passed the “Forced Arbitration Injustice Repeal Act of 2022” or the “FAIR Act,” which would ban the use of mandatory arbitration agreements and class and collective action waivers in the employment context (as well as for consumer, antitrust, and civil rights disputes).  If the Act …
Continue Reading Another Step Down the Slope: The House of Representatives Votes to Ban Mandatory Employment Arbitration and Class and Collective Action Waivers

By: Robert Whitman and John Phillips

If Appraisal Is Governed by the Federal Arbitration Act, What Is the Process? | Property Insurance Coverage Law Blog | Merlin Law GroupSeyfarth Synopsis: Recently, Congress passed significant new legislation amending the Federal Arbitration Act and precluding employers from mandating that employees arbitrate sexual harassment or sexual assault claims.  Importantly for employers, however, this new law does not impact employers’ ability to require arbitration of wage-hour claims, which, for most employers, is benefit of employment arbitration …
Continue Reading Mandatory Arbitration of Wage-Hour Claims Alive and Well After Congress Bans Some Agreements

By: Robert Whitman and John Phillips

As we previously reported, arbitration agreements have come under increasing scrutiny in recent years, especially with regard to claims for sexual harassment/assault arising during employment.

A number of states have already attempted to limit employers’ ability to require arbitration of such claims.  For example, state legislatures in California, Maryland, New Jersey, New York,…
Continue Reading Bipartisan Push to Curb Arbitration of Sexual Harassment Claims Gaining Momentum

By: Ryan McCoy

Seyfarth Synopsis: The Federal Arbitration Act (“FAA”) exempts workers engaged in interstate commerce from enforcement of mandatory arbitration agreements. Uber drivers (and other drivers working in the gig economy) have frequently argued that they fit under this “interstate transportation” exemption in order to avoid arbitration of their claim that they have been misclassified as independent contractors. A …
Continue Reading Ninth Circuit Rules Uber Drivers Must Arbitrate Classification Claims Because They Are Not Interstate Transportation Workers

By Lennon B. Haas, Kyle Petersen, and Kevin M. Young

Seyfarth Synopsis: Though it may sound esoteric, the question of whether “last mile” drivers fall within the Federal Arbitration Act’s transportation worker exemption bears tremendous consequence. If they are exempt, they can’t be compelled to arbitrate under the FAA. If they are not exempt, the answer reverses. In …
Continue Reading Eleventh Circuit Clears the Road to Arbitration for Last-Mile Drivers

By: Robert S. Whitman and John P. Phillips

Seyfarth Synopsis:  Arbitration agreements with class and collective action waivers can help employers limit litigation exposure, especially to wage and hour claims.  In recent years, however, in light of the “Me Too” movement, state and federal lawmakers have sought to limit or prohibit employment arbitration.  Unlike in past years, the make-up of …
Continue Reading Turning of the Tide: Will Congress Ban Mandatory Employment Arbitration?

By: Cameron Van and Kyle Petersen

Seyfarth Synopsis: Earlier this year, in New Prime, the Supreme Court decisively held that the Federal Arbitration Act’s § 1 exemption for transportation workers engaged in foreign or interstate commerce applied to independent contractors and employees alike. While New Prime presented a bump in the road to arbitration, a recent appellate court decision in …
Continue Reading Full Steam Ahead on Arbitration Says NJ Appellate Court

By: Rachel Hoffer

Seyfarth Synopsis: In 20/20 Communications, Inc. v. Crawford, the Fifth Circuit joined eight other circuits in holding that the availability of class arbitration is a “gateway” issue for courts, not arbitrators, to decide—unless there is “clear and unmistakable language” in the arbitration agreement to the contrary.  No circuit court has ruled to the contrary, and only the …
Continue Reading It’s Easy to See: 20/20 a Clear Win for Employers in the Fifth Circuit

By James M. Hlawek, Shireen Wetmore, Gena Usenheimer, and Richard L. Alfred

Seyfarth Synopsis: Today the Supreme Court issued a 5-4 decision in the Lamps Plus, Inc. v. Varela class action arbitration case.  The holding and rationale are important to employers because the Court decisively ruled that class arbitration “fundamentally” changes the nature of the “traditional …
Continue Reading A Bright Day for Employers:  The Supreme Court Decides In Lamps Plus That Courts Cannot Order Class Arbitration Without An Express Agreement

By: Ariel Fenster, Ryan McCoy, Steve Shardonofsky

Seyfarth Synopsis: Arbitration of employment claims continues to be a hot topic at the Supreme Court.  In a unanimous 8-0 decision yesterday (Justice Kavanaugh recused), the Supreme Court ruled in New Prime Inc. v. Oliveira that non-employee drivers engaged by a transportation company cannot be forced to arbitrate their wage-hour claims …
Continue Reading SCOTUS Puts the Brakes on Arbitration: Contract Drivers Engaged in Interstate Commerce Can Litigate in Court