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ARTICLE · 02 AUGUST 2024

Standard Contract Waiver Analysis Applies To Arbitration Agreements

The California Supreme Court reaffirmed that arbitration agreements are on equal footing with other types of contracts.

United StatesLitigation, Mediation & Arbitration

Seyfarth Synopsis:

The California Supreme Court reaffirmed that arbitration agreements are on equal footing with other types of contracts. Therefore, a court should apply the same principles that apply to other contracts to determine whether the party seeking to enforce an arbitration agreement has waived its right to do so. Quach v. California Commerce Club, Inc.

The Facts

In 2018, following his termination, Peter Quach sued his former employer, California Commerce Club, Inc., for discrimination, harassment, and retaliation, among other things. Commerce Club's answer asserted an "affirmative defense" that Quach should be compelled to arbitrate his claims. Initially, Commerce Club was not able to locate a fully-executed copy of Quach's 2015 arbitration agreement—it only found the signature page. Therefore, rather than filing a motion to compel arbitration based on the 2015 arbitration agreement, Commerce Club actively participated in discovery, including

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