Labor/Employment,
Government
Jun. 23, 2022
U.S. Supreme Court gives employers a rare victory in arbitration of PAGA claims
For employers in California with appropriately drafted arbitration agreements, this decision alleviates some of the expense of litigating in California. Indeed, the fees and penalties imposed by the PAGA bounty hunter scheme had led many employers to leave the state or dissolve their businesses. However, this relief may be short-lived.
Kacey R. Riccomini
Business Litigation Partner
Thompson Coburn LLP
2029 Century Park E Fl 19
Los Angeles , CA 90067-2934
Phone: (210) 282-2511
Email: kriccomini@thompsoncoburn.com
Kacey R. Riccomini represents a wide range of clients, from Fortune 500s to smaller businesses, in state, federal, and appellate courts, before various dispute resolution agencies, and at all stages of litigation, including trial. She has successfully defended employers of all sizes against wrongful termination, discrimination, retaliation, harassment, wage and hour claims, and representative actions, including class and Private Attorneys General Act claims.
The U.S. Supreme Court delivered a rare victory for California employers on June 15. In Viking River Cruises, Inc. v. Moriana, the Court held that the Federal Arbitration Act (FAA) preempts California law prohibiting arbitration of an employee’s “individual claims” brought under California’s Private Attorneys General Act (PAGA). Under the Supreme Court’s ruling, California employees subject to a well-drafted arbitration agreement that covers PAGA claims will now hav...
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