Courts, Congress Could Gut Penn Plaza Ruling

Law360, New York (April 27, 2009, 12:00 AM EDT) -- Hailed at the time as a victory for employers, the U.S. Supreme Court's April 1 ruling on the enforceability of provisions in collective bargaining agreements that require arbitration of employees' statutory claims has already been undermined by lawmakers and at least one lower court.

The sharply divided high court decision in 14 Penn Plaza LLC v. Pyett, a ruling that was expected to result in a drop in discrimination litigation, has already met with district court resistance and, perhaps more importantly, proposed legislation expressly aimed at...
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