9th Circuit Decision Makes It Harder for California Employers to Require Employees to Sign Arbitration Agreements as a Condition of Employment
Effective, January 1, 2020, the California legislature had passed a bill, AB 51, making it unlawful for employers to require newly hired employees to sign arbitration agreements as a condition of employment, meaning that it was not a voluntary choice.
Business groups promptly sued to invalidate AB 51. Last year, a federal district judge issued a preliminary injunction barring the state from enforcing the statute, finding that it was pre-empted by the Federal Arbitration Act.Read more