Executive Summary: On January
20, 2015, the U.S. Supreme Court denied review of CLS
Transportation Los Angeles, LLC v. Iskanian
("Iskanian"), a case which would have determined
whether employees in California could continue to bring
representative claims, despite the existence of arbitration
agreements with mandatory class/representative action
waivers. Companies operating in California may now need to
rethink their use of arbitration agreements in light of the U.S.
Supreme Court's ruling.
On January 20, 2015, the U.S. Supreme Court, without any
comment, denied defendant CLS Transportation Los Angeles'
Petition for Writ of Certiorari in CLS Transportation Los
Angeles, LLC v. Iskanian. The decision leaves intact a
California Supreme Court ruling that permits an employee to sue his
or her employer over California Labor Code violations on behalf of
him/herself and other current/former employees, even though the
employee signed an arbitration agreement containing