Hunton Retail Law Resource

On Friday, December 6, 2019, a business coalition led by the US Chamber of Commerce filed suit challenging a new California law that forbids employers from offering and entering into certain arbitration agreements with their workers. Signed into law by California Governor Gavin Newsom on October 10, 2019, Assembly Bill 51 (AB 51) will impose criminal liability on employers who require applicants or employees, “as a condition of reemployment, continued employment, or the receipt of any employment-related benefit,” to “waive any right, forum, or procedure for a violation of any provision of the California Fair Employment and Housing Act” and other related employment statutes. Additionally, AB 51 will impose criminal liability on employers who retaliate against applicants or employees who refuse to enter into banned mandatory arbitration agreements.

On October 28, 2019, the US Chamber of Commerce, along with two other business-oriented groups—the National Retail Federation and the Retail Litigation Center, Inc.—filed an amicus brief urging the Ninth Circuit to overrule a $102 million judgment against Wal-Mart.