Employment Arbitration Agreements: Overreaching Employer Shot Down By Court Of Appeals
After years of favoring arbitration agreements, a California Court of Appeal held that arbitration agreement is invalid where employee is powerless to bargain over the agreement's terms and where the agreement unfairly skews in employer's favor.
THERE ARE LIMITS TO WHAT EMPLOYERS CAN FORCE YOU TO SIGN
Maya Baxter worked for AssetMark Investment Services. AssetMark was acquired by Genworth North America Corporation. When Genworth took over, it required Baxter to sign an arbitration agreement. Genworth terminated Baxter after claiming that it was eliminating her job position. Baxter sued Genworth claiming that she was fired because of her race. Genworth then filed a motion to force Baxter into arbitration claiming that Baxter had given up her right to sue Genworth in court and have her claims decided by a jury.