Will SCOTUS Finally Decide What Language Authorizes Class Arbitration? Lamps Plus, Inc. V. Varela Might Just Do It.

As we noted in prior blog articles, questions regarding what authorizes class arbitration continue to arise despite class action waivers in many arbitration agreements. (See our Nov. 11, 2013, March 12, 2015, Sept. 9, 2015, March 23, 2016, and May 3, 2017, blog articles dealing with "gateway issues" and the availability of class arbitration.) Now, the U.S. Supreme Court has granted certiorari in a case that might finally resolve the issue. See Lamps Plus, Inc. v. Varela, No. 17-988, certiorari granted April 30, 2018. In its petition, Lamps Plus presented the question "[w]hether the Federal Arbitration Act forecloses a state-law interpretation of an arbitration agreement that would authorize class arbitration based solely on general language commonly used in arbitration agreements."