Calif. Court Limits Class Arbitration In Employment Pacts

Law360, New York (April 26, 2012, 4:35 PM EDT) -- A California appeals court ruled Wednesday that an arbitration provision contained in an employment contract cannot be expanded to require classwide arbitration unless explicitly set out in the agreement.

California Court of Appeals Judge Patti S. Kitching granted Kinecta Alternative Financial Solution Inc.'s appeal of a lower court's order requiring the bank to enter classwide arbitration in response to a wage-and-hour suit brought by branch manager Kim Malone, saying the trial court erroneously allowed Malone to expand her employment contract's individual arbitration provision to the entire...
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