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ARTICLE · 04 DECEMBER 2015

Iskanian Judge Puts Arbitration First, PAGA Claim Second

Fox Rothschild LLP
Fox Rothschild LLP
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The dispute, which has taken place over the course of 9 years, is said to have transformed legal understanding of employment arbitration contracts and expanded use of the PAGA.

United StatesEmployment and HR
Daily Journal
Daily Journal
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David F. Faustman was featured in the Daily Journal article "Iskanian Judge puts Arbitration First, PAGA Claim Second." Full text can be found in the December 2, 2015, issue, but a synopsis is below.

A California superior court judge has ruled that individual arbitration of a former CLS transportation employee will precede a representative court proceeding under the state's Privacy Attorney General Act (PAGA) which involves other former employees of the company.

The dispute, which has taken place over the course of 9 years, is said to have transformed legal understanding of employment arbitration contracts and expanded use of the PAGA.

Fox Rothschild's David Faustman, who is representing CLS Transportation, countered that the spirit of Iskanian's arbitration contract would be violated by handling the PAGA claim first. He noted that a March state appellate court decision Franco v. Arakelian Enterprises Inc., Cal. App. 234, was appropriate in ruling that

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