Labor/Employment
May 19, 2011
Say Goodbye to Wage-and-Hour Class Actions
Employers are now free of one of the biggest litigation threats facing their business. By Dan Chammas, Rebecca M. Aragon, and Richard Frey of Venable
In a decisive victory for employers, the U.S. Supreme Court held that, under the Federal Arbitration Act, an arbitration agreement can prohibit an individual from commencing or participating in a class action. The state Supreme Court had established a rule that an employment arbitration agreement was not enforceable if it waived an individual's right to file a class action. The Supreme Court, in a 5-4 decisio...
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