Supreme Court Rules California Employers Can Force Arbitration of Individual PAGA Claims

The U.S. Supreme Court has ruled that employers may compel employees to arbitrate individual claims raised under the California Private Attorneys General Act (PAGA).

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Next Steps:

If you have employees in California and use (or intend to use) arbitration agreements:

• Review the U.S. Supreme Court's decision with legal counsel to determine whether you should consider using arbitration agreements (or modify existing agreements).
• Watch for developments to determine how state courts and the state legislature respond to the ruling.