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Pre-Employment ADR Waivers

By Robert G. Brody

Alan Alonso and his wife applied for jobs with Huron Valley Ambulance Incorporated, were hired, and used the company's alternative dispute resolution (“ADR”) program on multiple occasions. But when the results of the last step of the ADR program did not go Alan's way, he sued in court. The Michigan Eastern District Court found that the ADR program was binding, but the Sixth Circuit found these well-educated employees did not knowingly waive their right to sue in court ' and therefore denied enforcement of the company's alternative dispute resolution system. In light of this decision, general counsel for companies with ADR programs should ask themselves if their waiver needs to be knowingly executed and what steps should be taken to ensure it is binding. This article addresses these issues.

Alonso v. Huron Valley Ambulance Incorporated

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