California Anti-Arbitration Law Held Up by Federal Injunction

A recent California law that would have made it illegal to put mandatory arbitration clauses in employment contracts has been held up by an injunction from a federal court. The new anti-arbitration law faced a great deal of controversy, as employers have made arbitration agreements an increasingly common part of their employment contracts. The injunction was issued as part of a lawsuit by employers attempting to prevent the law from coming into effect, as it would have this year. Continue reading “California Anti-Arbitration Law Held Up by Federal Injunction”

NLRA Allows Collective Action Waivers in Arbitration Agreements

The National Labor Relations Board (NLRB) has ruled that arbitration agreements containing provisions barring class or collective action do not violate the National Labor Relations Act (NLRA). Additionally, the NLRB ruled that an employer may legally terminate the employment of an employee who refuses to sign an arbitration agreement with class or collective action waivers included in its language. The ruling affirms existing precedent regarding arbitration agreements, although it also departs from precedent in allowing such an agreement to be considered valid, even when it was distributed in response to a collective action it was attempting to halt. Continue reading “NLRA Allows Collective Action Waivers in Arbitration Agreements”