Arbitration Agreements May Be Your Friend

Overview:

On June 15, 2022, the U.S. Supreme Court issued an 8-1 decision on the Viking River Cruises, Inc. v. Moriana case.  As anticipated, the U.S. Supreme Court ruled in favor of forcing employees to bring claims against their employers on an individual basis and in arbitration.

The decision represents a rare win for employers and provides clear support for employers to adopt an Arbitration Agreement for their employees.

What Should Your Company Do?

If you have 100 or more employees or are otherwise concerned about group-wide claims under the Private Attorney General Act (“PAGA”) or via class action, we suggest you contact our office to discuss the benefits and drawbacks of adopting an employee Arbitration Agreement.  Having a carefully crafted Arbitration Agreement can save your company thousands or even hundreds of thousands of dollars.  However, there are always considerations to be made when adopting such a policy so as to avoid unintended consequences.

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If you have any questions or need any additional information on this topic, please call Samantha Pungprakearti, Justin Hein, or Arif Virji at Carle, Mackie, Power & Ross LLP - (707) 526-4200.