Calif. Case Brings Guidance On Post-Dispute Arbitration Pacts

By Margaret Maraschino (May 10, 2018, 12:28 PM EDT) -- Last month, an employer failed in its efforts to compel arbitration of the claims of members of a certified class of employees under an arbitration provision that the company, Inter-Coast International Training Inc., introduced after a wage and hour class action was filed by a former employee, Anthony Nguyen. In an unpublished decision in Nguyen v. Inter-Coast International Training, a three-judge panel for California's Second Appellate District affirmed the trial court's ruling that Inter-Coast's introduction of a mandatory post-litigation arbitration agreement through a handbook revision was unconscionable and unenforceable.[1] The opinion, however, provided valuable guidance to employers that may wish to introduce post-dispute arbitration agreements while seeking to avoid a similar unconscionability finding....

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