Before signing any type of arbitration agreement, it is best to read the document in depth and speak to a lawyer. Contact the employment law specialists at Sanford Heisler Sharp, LLP, for an assessment of your case. The scrupulous nature of the content examines the fairness of the trial in the context of the agreement in relation to what would otherwise be the case in the public justice system. Does the arbitration provision remove some of the rights that could have been invoked in court, such as. B a request for a penalty that, according to the law, could be available for late payment of wages? Or does the arbitration provision remove remedies that might otherwise be available? These and other similar issues constitute a restriction on the worker`s material rights and may be unacceptable on the merits. The suitability for procedure is related to the manner in which the arbitration agreement was established. What was the negotiating power of the parties? There are limits that the courts have imposed on the way the employee is made to “consent” to arbitration. The factors taken into account by the courts in determining whether an arbitration agreement is procedurally unacceptable are: LE 22.2006 does not, however, apply to workers covered by a collective agreement negotiated between the contractor and a labour organization representing workers; or (2) staff or independent contractors who have entered into a valid contract for mediation before the contractor who enters into a contract with this clause[.] In addition, its waiver does not apply: (i) where the contractor may change the contractual terms with the self-employed worker or contractor; or (ii) if the contract is renegotiated or replaced with the self-employed worker or contractor. Several U.S.
states have recently amended labor laws to prohibit employers from applying arbitration clauses in workplace disputes with allegations of sexual harassment in the workplace. These changes in law are largely due to the #MeToo movement, and other states are considering such legislative changes. A recent release from Houston suggests that Texas law could move in that direction. In Bambace v. Berry Y-v Fabricators, LLC (2019), the applicant filed a complaint under the Texas Labor Code for unlawful sexual harassment and retaliation. The employer attempted to force arbitration on the basis of an arbitration agreement. However, the court found that the enforcement of arbitration in a right to sexual harassment, in which arbitration would be confidential and binding, is contrary to public policy. At the same time, California law requires that an arbitration agreement contain certain conditions to be applicable. For example, the employer must pay all arbitration costs, including fees for arbitrators that can easily be tens of thousands of dollars.
And an arbitration agreement cannot limit an employee`s rights to “discovery” or damages that can be recovered. In addition, in recent years, state and federal courts in California have refused to impose provisions in arbitration agreements that prevent employees from filing a class action.