In a 2-0 decision (with Member Hayes recused), the National Labor Relations Board (NLRB) has held that an employer violates the National Labor Relations Act (NLRA) when it requires employees to sign an agreement that precludes them from filing joint, class, or collective claims regarding wages, hours or other working conditions against the employer in any forum, arbitral or judicial. Comparing the agreement to "yellow dog" contracts,[1] the Board held such an agreement unlawfully restricts employees' exercise of their Section 7 rights to engage in concerted activities for mutual aid or protection. See D.R. Horton, Inc. and Michael Cuda, Case 12–CA-25764 (Jan. 3, 2012).

In this case, the Board interpreted the employer's "Mutual Arbitration Agreement" (MAA), which required employees to arbitrate any employment-related claims (with certain exceptions not relevant to this case) and prohibited class-wide arbitrations. The MAA also required employees to waive the right to file an employment-related lawsuit in court against the employer.