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