In Blow to Employees, High Court Limits Class Actions
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In Blow to Employees, High Court Limits Class Actions

In a series of cases employees sought to litigate their employment disputes under the Fair Labor Standards Act (FLSA) and state law through class or collective actions in federal court, notwithstanding their employment contracts that provided for individualized arbitrations. In a 5-4 vote the U.S. Supreme Court upheld the strict tenets of the Arbitration Act and its requirement that arbitration agreements providing for individualized proceedings must be enforced. The court rejected the employees’ arguments that the savings clause of the American Arbitration Act allows parties to avoid individual arbitrations because they violate the National Labor Relations Act.

Epic Systems Corp v Lewis