Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
Class Action Waivers in Employment-Related Arbitration Agreements
In April 2011, the U.S. Supreme Court issued a landmark opinion addressing whether arbitration agreements drafted to prohibit class relief are enforceable. AT&T Mobility LLC v. Concepcion, 131 S.Ct. 1740 (2011) reiterated the Court's strong and consistent message that arbitration agreements must be enforced according to their terms. It emphasized in its holding that the parties' expectations must be honored even if those terms include class or collective action waivers, because “arbitration is a matter of contract.” In fact, the Concepcion Court went further and noted the incompatibility between arbitration's demonstrated efficiencies in resolving individual disputes compared with the statistical inefficiency of class relief. It concluded that class relief is inappropriate in arbitration unless the parties' agreement specifically authorizes it.
Although Concepcion arose in the consumer finance context, its analysis is not limited to any particular industry or contractual relationship. For franchisors and franchisees, the case is obviously critical to the franchise agreement itself, which often contains an arbitration agreement and may limit class relief. Whether it is a good thing that Concepcion guarantees parties the right to limit class relief in the franchise agreement likely depends on perspective. But both franchisors and franchisees are employers, and employment standards and procedures are often important terms in the franchise agreement. Employment relationships created in these agreements typically result in many employees in multiple locations. The opportunities Concepcion presents for franchisors and franchisees as employers to limit class relief in employee lawsuits cannot be ignored. As implications from the opinion continue to evolve, an employer's decision whether and how to craft enforceable arbitration agreements with employees has become more important than ever.
Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office
A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.
Bit Parts
Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
Risks of “Baseball Arbitration” in Resolving Real Estate Disputes
“Baseball arbitration” refers to the process used in Major League Baseball in which if an eligible player's representative and the club ownership cannot reach a compensation agreement through negotiation, each party enters a final submission and during a formal hearing each side — player and management — presents its case and then the designated panel of arbitrators chooses one of the salary bids with no other result being allowed. This method has become increasingly popular even beyond the sport of baseball.
Disconnect Between In-House and Outside Counsel
'Disconnect Between In-House and Outside Counsel is a continuation of the discussion of client expectations and the disconnect that often occurs. And although the outside attorneys should be pursuing how inside-counsel actually think, inside counsel should make an effort to impart this information without waiting to be asked.
Bankruptcy Sales: Finding a Diamond In the Rough
There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.