Law Center Search Results

The NAM filed an amicus brief asking the U.S. Supreme Court to review and reject California’s rule prohibiting arbitration of Private Attorneys General Act (PAGA) claims. The California Supreme Court held that California public policy precludes enforcement of an agreement that requires PAGA claims to be submitted to arbitration and that California’s policy is not preempted by the Federal Arbitration Act (FAA). This holding means representative PAGA claims will likely become even more common, resulting in the effective invalidation of millions of arbitration agreements that are governed by the FAA. The NAM’s brief argued that arbitration agreements allow disputes to be resolved promptly and efficiently while avoiding the costs associated with traditional litigation. Such arbitration is speedy, fair, inexpensive and less adversarial than litigation in court. Unfortunately, the U.S. Supreme Court denied review.