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Sandquist v. Lebo Automotive, Inc., (CA 2016)

Articles Discussing Case:

California Supreme Court on Arbitration Agreement Silent on Class Action Waivers

Jackson Lewis P.C. • August 02, 2016
Does the court or the arbitrator decide whether the parties to an arbitration agreement intended class arbitration where the agreement does not contain an express class action waiver? The California Supreme Court responded that there is no “one-size-fits-all” answer and the issue is a matter of contract determined by state law contract interpretation principles.

Who Decides Whether Arbitration Will Include Class Claims? California High Court Says Ambiguous Agreements May Be Decided in Favor of Workers

FordHarrison LLP • August 02, 2016
Executive Summary: In a decision that will likely be seen as a win for employees, a sharply divided California Supreme Court ruled that the question of whether a court or an arbitrator decides if an arbitration agreement permits class claims should be determined on a case-by-case basis, specifically focusing on the agreement's terms and resolving any ambiguities in favor of the non-drafting party. Given the high stakes nature of class proceedings and limited review of arbitrators' rulings, we strongly recommend all employers seeking to avoid class arbitration have their agreements reviewed.