1. HOT TOPICS IN ARBITRATION--MAKING ARBITRATION CLAUSES ENFORCEABLE IN CALIFORNIA.
- Author
-
Landau, Eric and Scotto, Amy Markel
- Subjects
LEGAL judgments ,ARBITRATION & award ,LABOR contracts ,BARGAINING power ,ARBITRATION clauses (Contracts) - Abstract
The article discusses the enforceability of arbitration clauses in employment agreements in California. California courts view mandatory arbitration provisions as "contracts of adhesion" and scrutinize them closely, especially if the provision delegates the power to decide enforceability to the arbitrator. Two recent appellate decisions provide guidance for employers in drafting arbitration agreements. The decisions emphasize the importance of a well-drafted delegation clause and highlight the need for employees to specifically challenge the delegation clause in order for the court to consider the challenge. The article suggests that employers should update their employment agreements to reflect the current state of the law and reduce the risk of invalidating arbitration clauses. [Extracted from the article]
- Published
- 2024