Lawmakers Advance FAIR Act Bill Aimed at Eliminating Forced Arbitration in Employment Contracts

Lawmakers Pass FAIR Act Bill Aimed at Eliminating Forced Arbitration in Employment Contracts

On Tuesday, September 10, 2019, House Democrats voted overwhelmingly to send the FAIR Act (a bill to end forced arbitration) to the House floor for a vote. The vote on the bill is expected to take place as early as next week. [Read more…]

Google Employees Push for Legislation to End Forced Arbitration in Employment Contracts

Google employees are organizing a phone drive that will take place on Wednesday, May 1st to press lawmakers into supporting The Forced Arbitration Injustice Repeal (“FAIR”) Act. The FAIR Act is an initiative recently reintroduced in the House of Representatives seeking to end the use of arbitration agreements in employment contracts so as to sidestep public trials. Widely used across many industries, these clauses are inserted into workers’ contracts more and more frequently to require that the workers waive their right to sue their employers in a real and public court. Instead, employee complaints are funneled into a private legal system, where employers (who fund the system) are viewed as having the upper hand in the settling of job-related disputes. [Read more…]

American Association for Justice Releases Video in Support of FAIR Act Aimed at Eliminating Forced Arbitration in Employment Contracts

American Association for Justice Releases Video in Support of FAIR Act

Early this year, democratic lawmakers announced a new bill aimed at ending the practice of forced arbitration in employment contracts. The Forced Arbitration Injustice Repeal (“FAIR”) Act seeks to end the use of mandatory arbitration clauses, which are often inserted into workers’ contracts to require that they waive their right to sue their employers in a real court. With their right to sue waived, employees complaints instead are directed to a private system funded by employers where employers are seen to gain the upper hand in job-related disputes. [Read more…]

Lawmakers Announce New ‘FAIR Act’ Bill to End Forced Arbitration

Lawmakers Announce New ‘Fair Act’ Bill to End Forced Arbitration

Democratic lawmakers today announced a new bill aimed at ending the practice of forced arbitration in employment contracts. The Forced Arbitration Injustice Repeal, or FAIR Act, seeks to end the use of mandatory arbitration clauses, which are often inserted into workers contracts to require that employees waive their right to sue their employers. With the right to sue waived, employee complaints instead can only go through a private system where employers are automatically given the upper hand in disputes. [Read more…]

Supreme Court Set to Review Mandatory Arbitration in the Employment Context

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Court will rule on cases involving workers’ rights to sue their employers in court

As reported by the Wall Street Journal the U.S. Supreme Court is slated to make rulings in three cases that involve workers’ rights to sue their employers. The fundamental question is whether employment contracts can allow employers to force workers to bargain away their rights to sue in court over employment disputes. [Read more…]

VIDEO: Consumers Win Victory Over Western Sky Financial in Litigation Over Abusive Payday Lender Scam

Successful consumer protection class action against malevolent payday lender highlights the benefits and power of individuals uniting in class action lawsuits

Successful consumer protection class action against malevolent payday lender highlights the benefits and power of individuals uniting in class action lawsuits

On Monday evening, the Public Justice Foundation held its 36th Annual Gala & Awards Dinner at the Denver Center for the Performing Arts. As part of the ceremony, Public Justice recognized victorious attorney efforts with its Trial Lawyer of the Year awards. This included a focus on and video describing Inetianbor v. Western Sky Financial. [Read more…]

Mandatory Arbitration Clauses Should Be Banned From Insurance Policies

Mandatory Arbitration Clauses Should Be Banned From Insurance Policies

Formal amendment to the Model Unfair Trade Practices Act seeks to prohibit pre-dispute forced arbitration provisions

According to Insurance Business America, pretty much everyone except big business hates forced dispute arbitration, a diversion of adjudication from open courts to closed, one-sided panels that has been shoved down the throats of consumers across nearly every industry. “Over the last 10 to 15 years, the practice of requiring individuals to agree to arbitrate rather than litigate any future disputes (or forgo the product, service or employment altogether) has been heavily criticized by government agencies, the media, academics and consumer groups.” [Read more…]

Kelly Dermody Talks to Law.com About Class Action Waivers in Employment Contracts

Kelly Dermody Talks to Law.com About Class Action Waivers in Employment Contracts

Recently, in a decision expected to have large-scale impact for companies and workers, the U.S. Supreme Court gave its approval to employment contracts that include class action waivers. Law.com spoke with Lieff Cabraser partner Kelly M. Dermody, Chair of the firm’s Employment Law practice group, about the case. As the journal notes, “Dermody is involved in some of the biggest labor and employment class actions around, and has long pushed companies to create and foster equal playing fields for all workers.” [Read more…]

“Supreme Court Deals Blow to Employees Holding Employers Accountable” – Rachel Geman Writes for ACS Blog

“Supreme Court Deals Blow to Employees Holding Employers Accountable” – Rachel Geman Writes for ACS Blog

Lieff Cabraser partner Rachel Geman has written a piece for the American Constitution Society for Law and Policy (ACS) titled “Supreme Court Deals Blow to Employees Hoping to Hold Employers Accountable.” In the piece, Geman challenges the wisdom of the recent 5-4 Supreme Court ruling in Epic Systems Corp. v. Lewis, where Justice Gorsuch’s majority opinion held that employees’ rights to cooperate in concerted activities under the National Labor Relations Act (NLRA) does not extend to participation in class and collective actions, substituting unfair forced arbitration for the right to have a case heard in open court. [Read more…]

New Employment Law Case May Cause Employees to Lose Class Action Rights

New Employment Law Case May Cause Employees to Lose Class Action Rights

A new employment law case facing review by the U.S. Supreme Court may have a massive impact on employees’ class action rights. Ernst & Young LLP v. Morris raises the fundamental question of whether a business can prohibit its employees from using collective legal action to challenge improper workplace issues such as unpaid wages and discrimination. [Read more…]

Lieff Cabraser Files Amicus Brief on Behalf of Public Justice in Uber Forced Arbitration Case

Lieff Cabraser Files Amicus Brief in Support of Public Justice in Uber Forced Arbitration Case

As reported by Law360, Public Justice (represented by Lieff Cabraser) has filed an amicus brief in the U.S. Court of Appeals for the Second Circuit urging the affirmation of the district court’s decision denying a motion to compel arbitration in a consumer lawsuit against the Uber ride-sharing service. In the case, Uber seeks to impose mandatory arbitration requirements on consumers — contract terms of which they had no notice and to which they did not affirmatively agree. The brief notes that this is not only contrary to longstanding law, but also fundamentally unfair: Companies should not be permitted to force consumers making online transactions to abide by terms to which they do not agree, simply because those terms are available elsewhere online. [Read more…]

CFPB Proposal to Regulate Arbitration Agreements

CFPB Proposal to Regulate Arbitration Agreements Results in Pushback from Consumer Finance Industry

On October 7, 2015, the Consumer Financial Protection Bureau (CFPB) announced its proposal to regulate the aggressive use of arbitration agreements in consumer financial services contracts and “give consumers their day in court.” These consumer financial services include: bank accounts, private student loans, credit cards, auto loans, money transfer services, small dollar or payday loans, and installment loans. [Read more…]