On February 15, 2023, a federal appeals court blocked a
California law that prohibited employers from requiring their
workers to resolve legal disputes in private arbitration.
A three-judge panel of the 9th U.S. Circuit Court of Appeals in
San Francisco in a 2-1 decision held that the law cannot be
enforced because it conflicts with federal arbitration law. This
ruling hands an important victory to business groups and employers
across the state.
The 9th Circuit panel in 2021 upheld the law 2-1, but later
agreed to reconsider the decision. One of the three judges was
persuaded to reverse his prior ruling in this revised order, which
revived a ruling by a lower court against the law. The case is U.S.
Chamber of Commerce v. Bonta, 9th Cir., No. 20-15291,
2/15/2023.