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Employment Newsletter

June 2016

Author: David M. Holmes

Employment & Labor June Newsletter - Wilson Elser   

Seventh Circuit Finds Class Action Waiver Unenforceable in Arbitration Agreements, Creates Split among Circuits

In a recent decision, the Seventh Circuit ruled that an employer’s class action waiver was unenforceable in arbitration agreements because it completely eliminated the employees’ right to act collectively. In doing so, the Court parted from a prior ruling in the Fifth Circuit, creating an issue likely to be decided by the Supreme Court.

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