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ARTICLE · 17 JUNE 2013

Oxford Health Plans v. Sutter

Proskauer Rose LLP
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Arbitration clauses meant to prohibit class action arbitrations, whether in employment agreements or other documents, need to be reviewed after a recent Supreme Court decision.

United StatesEmployment and HR

Arbitration clauses meant to prohibit class action arbitrations, whether in employment agreements or other documents, need to be reviewed after a recent Supreme Court decision.  In Oxford Health Plans v. Sutter, ___ U.S. ____, No. 12-135 (June 10, 2013),  the Court unanimously upheld an arbitrator's ruling that a pediatrician could proceed with a class action arbitration against Oxford Health Plans under a fee-for-services contract that was silent as to class arbitration.  In doing so, the Court clarified its prior holding in Stolt-Nielsen S.A. v. AnimalFeeds Int'l Corp.,  559 U.S. 662 (2010) that an arbitrator only may permit a class arbitration if the contract at issue permits it.

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