11.03.2022Timing is Everything: NJ Appellate Division Compels Arbitration of Employee’s Sex Harassment ClaimsOn October 26, 2022, the New Jersey Appellate Division in Rourke v. Herr Foods, Inc. once again confirmed that the Federal Arbitration Act (FAA) preempts the 2019 amendment to the New Jersey Law Against Discrimination (NJLAD) invalidating employment agreements that require employees to waive rights pertaining to claims of harassment, discrimination and/or retaliation. Thus, the employee was required to proceed to arbitration on his sexual harassment, sexual assault and retaliation claims.
02.25.2022To Be Blunt: The NJLAD Does Not Bar Arbitration of Medical Marijuana User’s Employment ClaimsOn February 15, 2022, the New Jersey Appellate Division upheld a trial court Order compelling arbitration of discrimination and wrongful termination claims brought by a former employee who was terminated for testing positive for marijuana. In a matter of first impression, the Appellate Division in Antonucci v. Curvature Newco, Inc. held that federal law governing arbitration preempts a 2019 amendment to the New Jersey Law Against Discrimination (NJLAD) invalidating employment agreements that require employees to waive certain rights, with respect to discrimination, retaliation, and/or harassment claims.
04.12.2021Doubling Down on the FAA: NJ District Court Strikes Down the NJLAD’s Prohibition Against ArbitrationEarlier this year, in a matter of first impression, the Monmouth County Law Division in Janco v. Bay Ridge Automotive Management Corp. held that the amendment to the New Jersey Law Against Discrimination (NJLAD) which prohibits a waiver of any right or remedy available under the NJLAD was superseded by the Federal Arbitration Act (FAA). In its decision on March 25, 2021 in New Jersey Civil Justice Institute v. Grewal, the United States District Court followed suit and enjoined the State AG from enforcing Section 12.7 of the NJLAD that would invalidate arbitration agreements between employers and employees. This decision represents a significant victory for employers on the enforceability of arbitration agreements in harassment, discrimination and retaliation cases in New Jersey.
03.08.2021FAA Trumps NJLAD: NJ Superior Court Upholds Employer’s Arbitration Agreement in NJLAD CaseIn a matter of first impression, the Monmouth County Law Division in Janco v. Bay Ridge Automotive Management Corp., found that a former employee’s claims brought under the New Jersey Law Against Discrimination were subject to the arbitration agreement that she signed when she was first hired. The Court further held that the recent amendment to the Law Against Discrimination (NJLAD) which prohibits a waiver of any right or remedy available under the NJLAD was superseded by the Federal Arbitration Act.
08.19.2020Crossing State Lines: Road Tripping with Amazon and Interstate CommerceOn July 28, 2020, Chief District Judge Freda L. Wolfson from the District of New Jersey denied Amazon’s Motion to Dismiss and Compel Arbitration in Harper v. Amazon. The parties were ordered to engage in discovery to determine whether plaintiff was engaged in interstate commerce to be exempt from arbitration under the Federal Arbitration Act (FAA).
07.21.2020New Jersey Arbitration Act Rushes in and Orders Arbitration Where FAA Fears to TreadIn a July 14, 2020 decision the Supreme Court of New Jersey held that the New Jersey Arbitration Act (NJAA) may apply to arbitration agreements even if the parties are subject to the Federal Arbitration Act (FAA) exemption for transportation workers engaged in interstate commerce.
10.15.2019Third Circuit Decision Threatens Rideshare Company’s Right to ArbitrateThe Third Circuit recently opened the door to exempting Uber drivers from the Federal Arbitration Act (“FAA”). In a precedential decision, the Court of Appeals vacated a District Court’s decision compelling arbitration of an Uber driver’s wage claim and remanded the case back to the District Court to determine whether the exemption applies.
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