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ARTICLE · 25 JANUARY 2019

Could Recent Supreme Court Case Upend Gig Economy Arbitration Pacts?

My colleagues Andy Scott and Felix Digilov reported on last week's Supreme Court decision that rejected a trucking company's effort to force its drivers to arbitrate their wage and hour claims against the company, ...

United StatesLitigation, Mediation & Arbitration

My colleagues Andy Scott and Felix Digilov reported on last week's Supreme Court decision that rejected a trucking company's effort to force its drivers to arbitrate their wage and hour claims against the company, despite the fact they had signed otherwise enforceable arbitration agreements (New Prime Inc. v. Oliveira). The reasoning behind that ruling? The SCOTUS held that the Federal Arbitration Act's exemption that excludes "contracts of employment of workers engaged in interstate commerce" includes not only interstate transportation workers with employment agreements, but also those interstate transportation workers with independent contractor agreements. Now, a prominent labor law commentator posits whether this same decision could cause trouble for Lyft, Uber, and other gig economy companies.

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