What Justices' Arbitration Pact Pass Means For Calif. Cos.
By Steven Katz (June 17, 2020, 4:04 PM EDT) -- Now that the U.S. Supreme Court has declined to review the California Supreme Court's ruling in OTO LLC v. Kho, California employers are going to need to review their arbitration programs.
In OTO, the California Supreme Court held, in the words of the dissenting justice:
[T]hat an arbitration agreement is substantively unconscionable — and therefore unenforceable — precisely because it prescribes procedures that, according to the majority, have been "carefully crafted to ensure fairness to both sides." OTO breaks new ground in California arbitration law and could be interpreted to call into question the enforceability of many employer arbitration programs in...
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