Tag: Arbitration

Fumbling Arbitration at the Goal Line—A Cautionary Tale

The U.S. Supreme Court recently handed the National Football League (NFL) a significant off-field loss, declining to enforce the league’s arbitration agreement. West Virginia employers would be wise to make sure their agreements stand up to scrutiny. Flag on the Play Former coach Brian Flores sued the NFL and two teams, the New York Giants […]

When Is Arbitration the Best Option?

If you run a business, you’ve probably encountered arbitration clauses. These contractual provisions require parties to resolve disputes in private proceedings instead of court and are celebrated as a cost-effective alternative to in-court litigation. But arbitration might not always be a beneficial proposition for business disputes. Those who have arbitrated cases know the process features […]

Companies See Big Rise in Labor and Employment Class Actions and Defense Spending

The 2023 Carlton Fields Class Action Survey has revealed a significant increase in the number of labor and employment class action lawsuits and the amount companies are spending to defend those lawsuits. That is sobering news for employers and raises questions about what the class action landscape may look like for employers in the future. Labor & […]

Employers Can’t Mandate Arbitration of Sexual Assault and Harassment Claims

Courts have long favored arbitration as a method of dispute resolution under the Federal Arbitration Act (FAA). In 2018, the U.S. Supreme Court reinforced the policy favoring arbitration agreements in Epic Systems Corp. v. Lewis. The Court ruled that the FAA requires enforcement of arbitration agreements that fall within its scope, including agreements in which […]

Don’t Wait Too Late to Arbitrate, Warns Supreme Court

The Federal Arbitration Act (FAA) favors the enforcement of arbitration agreements, but employers can’t wait too long to compel arbitration. Courts often apply a contract “waiver” rule if employers sit on their rights too long (meaning the court finds a party waived its right to arbitrate if it failed to start the process soon enough). […]

It’s Now Easier for Alleged Joint Employers to Compel Arbitration

Nearly four years ago, the U.S. Supreme Court held employers can enforce arbitration agreements that waive an employee’s right to join a class action lawsuit. Since then, many companies have avoided what would be costly class action lawsuits, particularly in the wage and hour context, by requiring individual arbitration with employees. Despite this, there was […]

Rare Exception to FAA Kills Arbitration Clause

The Federal Arbitration Act (FAA) enforces certain arbitration agreements involving federal law, including some employment disputes and claims against employers under the Employee Retirement Income Security Act of 1974 (ERISA). But is an arbitration agreement that prohibits an individual from seeking relief provided by federal statute still enforceable? The U.S. 7th Circuit Court of Appeals […]