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The NAM filed an amicus brief urging the U.S. Court of Appeals for the Ninth Circuit to reverse a district court’s decision holding that the Federal Arbitration Act (FAA), which is a national policy favoring arbitration, does not cover the arbitration agreement of a purely local, intrastate delivery driver. The district court’s approach threatens substantial litigation costs both from future disputes over the FAA’s application and from judicial decisions that deprive businesses and workers of the benefits of the FAA. Arbitration is important to manufacturers because it encourages efficient employment practices by providing lower costs to the parties and faster results in a dispute, thus avoiding drawn-out and costly litigation. The NAM’s brief argued that the plain meaning of the FAA does not exempt local delivery drivers from arbitration, and the FAA must be given a precise meaning within historical context. On August 19, 2020, in a disappointing 2-1 decision, the Ninth Circuit held that the delivery drivers fall within the FAA's exemption for interstate transportation workers.