Arbitration Agreements

As explained in greater detail in a prior alert, Virginia has enacted a number of new employment laws that increase employee rights and protections. Most of these new laws took effect on July 1, 2020. One major impact of the laws is that employers are likely to have more discrimination claims adjudicated in Virginia state courts instead of federal courts. Shifting the forum for adjudication in this way may pose a significant disadvantage to employers, as the applicable procedures in Virginia courts can make it more difficult to win before trial. Because of the significant legal expenses incurred in litigating a case through trial, this may significantly increase the legal expense to employers even in cases where their defenses are strong, in some cases above the value of the claim itself. We discuss several considerations relating to this change below, including the benefits and drawbacks of requiring employees to enter into arbitration agreements.
Continue Reading Strategic litigation considerations for employers in light of the Virginia Values Act

As part of an ongoing project to update its guidance and technical assistance documents, the Equal Employment Opportunity Commission (“EEOC”) last week issued a statement rescinding its 1997 Policy Statement on Mandatory Binding Arbitration of Employment Discrimination Disputes as a Condition of Employment (the “Policy Statement”)EEOC policy statements do not have

California Governor Gavin Newsom recently signed into law 15 bills designed to provide greater employee protections in California.  Among those bills were Assembly Bill 9 (“AB 9”) and Assembly Bill 51 (“AB 51”), both of which are aimed at protecting employees’ rights to litigate harassment, discrimination, and retaliation claims.

As we previously blogged about here

On June 26, 2019, Judge Denise Cote, of the Southern District of New York, granted a motion to compel arbitration of an employment discrimination, retaliation and sexual harassment claim—despite recently passed NY law, NY CPLR § 7515 (“Section 7515”), invalidating provisions that require employees to arbitrate sexual harassment claims.

Judge Cote observed that Section 7515

The Supreme Court ruled on Wednesday that a court cannot force class arbitration unless both the employer and the employee clearly agreed to class arbitration.

In Lamps Plus, Inc. v. Varela, Frank Varela found out his employer Lamps Plus had been hacked and his tax information stolen, resulting in a fraudulent tax return filed

Two California Courts of Appeal came to two different conclusions on motions to compel arbitration on the same day last week (April 10), again demonstrating the care that must be taken in drafting and presenting arbitration agreements to workers.

In Diaz v. Sohnen Enterprises (Second Appellate District Case No. B283077), the company called employees into

Employers seeking to require binding arbitration for employee claims need to take notice of a recent decision.  In Jin v. Parsons Corp., 2019 WL 356902 (D.D.C. Jan. 29, 2019) a federal judge in D.C. held that an arbitration agreement sent via email by an employer, with a notice that continued employment would constitute assent,

Following up on a recent post about the intricacies of mandatory arbitration agreements in the workplace, the New Jersey Appellate Division recently held that an arbitration clause that employees did not explicitly agree to was unenforceable.  The arbitration clause was presented in a training module that was sent to employees, which the employees were then

Congrats to Hogan Lovells’ appellate team for securing one of the most important employer-friendly SCOTUS decisions in decades regarding the enforceability of class action waivers in arbitration agreements.  Please read about it at http://www.hoganlovells.com/en/news/hogan-lovells-scores-major-win-for-employers-in-us-supreme-court-case-epic-systems-corp-v-lewis.