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California Supreme Court

Dec. 24, 2008

Class Arbitration Waivers Fall Out of Favor, Lawyers Say

Circuit City has filed for bankruptcy and Robert Gentry long ago quit his manager’s job with the electronics retailer, but the California Supreme Court decision that bears both their names continues to have ripple effects in the arena of wage-and-hour litigation. In an August 2007 decision, the court said companies can’t ask their employees to give up their right to class arbitration. Although the high court stopped short of a ban, since then judges have generally taken a dim view of class arbitration waivers.

By Laura Ernde
Daily Journal Staff Writer

Circuit City has filed for bankruptcy and Robert Gentry long ago quit his manager's job with the electronics retailer, but the California Supreme Court decision that bears both their names continues to have ripple effects in the trendy arena of wage-and-hour litigation.

The August 2007 decision empowered employees to band together in employment disputes, heading off a divide-and-conquer strategy some emplo...

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