On June 26, 2020 the Supreme Court of Canada released its
decision in Uber Technologies Inc. v. Heller 2020 SCC 16.
In an eight-one majority, the SCC held that the plaintiff Uber
driver could proceed with his class action against Uber, despite
the mandatory arbitration clause contained in a standard form
contract he had signed prior to joining Uber as a driver.
Developing new law, the SCC held that mandatory arbitration clauses
denying access to justice are unenforceable. Writing for the
majority, Justices Abella and Rowe stated:
[97] Respect for arbitration is based on it being a
cost-effective and efficient method of resolving disputes. When
arbitration is realistically unattainable, it amounts to no dispute
resolution mechanism at all. […] The arbitration clause is
the only way Mr. Heller can vindicate his rights under the
contract, but arbitration is out of reach for him and other drivers
in his position. His contractual rights are, as a result,
illusory.1