California: State Supreme Court Takes a Heavy-Handed Look at Unconscionability in Arbitration Agreements
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APPLIES TO All Employers with CA Employees |
EFFECTIVE August 29, 2019 |
QUESTIONS? Contact HR On-Call |
In Oto, LLC v. Kho, the California Supreme Court again pushed back on arbitration agreements in employment. The U.S. Supreme Court historically has said that states cannot discriminate against arbitration as a forum for resolving disputes or in favor of some disputes over others. Here, the California Supreme Court attacked the unconscionability of the agreement, meaning that the agreement was unfair in how it was presented to the employee.