We examine questions about how California employers should handle arbitration agreements.
Should we use arbitration agreements to help resolve employment disputes?
Companies adopting arbitration agreements face a number of difficult decisions in crafting their agreements to ensure that they will be enforceable while also maximizing the benefits of arbitration. Under existing law, those agreements with the best chance of being enforced will forgo many of the most attractive features of arbitration. However, incorporating those features will create risks that a court will refuse to enforce the agreement. Employers must balance these risks and benefits in light of overall business priorities to craft the most appropriate arbitration agreement for their particular situation.
What arbitration terms must we include?
One option is to adopt an arbitration agreement that has already been approved by the courts. In Little v. Auto Stie...(register to read more)