Employee Accepted Arbitration Offer When She Continued To Work, Sixth Circuit Rules

In a Halloween treat for employers, the Sixth Circuit ruled this morning that an employee had contractually agreed to arbitrate any employment disputes, by continuing her employment after having been notified of the employer's mandatory arbitration program.

Cecilia Tillman v. Macy's, Inc. is the latest in a line of cases analyzing the enforceability of mandatory arbitration clauses in employment.

Plaintiff Cecilia Tillman had been an employee of May Department Stores until 2005, when Macy's merged with May and she became an employee of Macy's.  Following the merger, Macy's rolled out its Solutions inSTORE program, which included a four-step dispute resolution process, culminating in mandatory arbitration that would be binding on both Macy's and the complaining employee.  By participating in the program, employees waived their right to file an employment dispute in court.  Disputes would be ruled upon by an arbitrator, with no right of appeal for either side.