News & Analysis as of

Transportation Industry Arbitration Agreements

Jackson Lewis P.C.

Ninth Circuit Continues to Expand Transportation Worker Exemption Under Federal Arbitration Act

Jackson Lewis P.C. on

Courts are finding more workers who do not physically transport goods or people across state lines to be transportation workers exempt from arbitrating their claims under the Federal Arbitration Act (FAA). The U.S. Court of...more

Sheppard Mullin Richter & Hampton LLP

Ninth Circuit Finds Shipping Warehouse Employee Qualified as Exempt “Transportation Worker” Under the Federal Arbitration Act

On March 12, 2024, the Ninth Circuit published a decision in Ortiz v. Randstad Inhouse Services, LLC, holding that the Plaintiff Adan Ortiz (“Plaintiff”) qualified as a “transportation worker” under the Federal Arbitration...more

Morgan Lewis

US Supreme Court Clarifies Application of Federal Arbitration Act’s ‘Transportation Worker’ Exemption

Morgan Lewis on

In Bissonnette v. LePage Bakeries, a unanimous Supreme Court clarified the scope of the Federal Arbitration Act’s (FAA’s) “transportation worker” exemption by rejecting the industry-based test applied in the Second Circuit....more

ArentFox Schiff

Supreme Court Holds That the FAA’s Transportation Exemption Applies to all Employees Involved in Interstate Transportation

ArentFox Schiff on

Enacted in 1925, the Federal Arbitration Act (FAA) reflects the nation’s policy favoring arbitration agreements. Employers routinely rely on the FAA to compel aggrieved employees to press their disputes before an arbitrator,...more

Parker Poe Adams & Bernstein LLP

Supreme Court Says Arbitration Law Exemption Applies to Worker's Jobs and Not Company's Business

The Federal Arbitration Act (FAA) provides employers with wide discretion to require that disputes with employees be subject to mandatory arbitration rather than proceeding through the court system. Many employers favor...more

Holland & Knight LLP

Food Delivery Drivers' Misclassification Suit May Be Exempt from Arbitration

Holland & Knight LLP on

The U.S. Supreme Court decided Bissonnette, et al. v. LePage Bakeries Park St., LLC, et al. on April 12, 2024. In a unanimous decision written by Chief Justice John Roberts, the Court held that a transportation worker need...more

Holland & Knight LLP

U.S. Supreme Court: Workers Who Transport Goods Are Exempt from FAA, Regardless of Industry

Holland & Knight LLP on

The U.S. Supreme Court on April 12, 2024, decided Bissonnette v. LePage Bakeries Park St., LLC. The central issue revolved around the Federal Arbitration Act (FAA) and its applicability to workers engaged in interstate...more

Cozen O'Connor

Democratic AGs Try to Drive a Truck Through Arbitration Act Exemption

Cozen O'Connor on

A group of 16 Democratic AGs filed an amicus brief before the U.S. Supreme Court in Bissonnette v. LePage Bakeries, urging the reversal of a lower court’s holding that truck drivers for non-transportation companies do not...more

Parker Poe Adams & Bernstein LLP

Supreme Court to Review Scope of Arbitration Exclusion for Transportation Workers

The Federal Arbitration Act (FAA) requires state and federal courts to defer to private arbitration agreements entered into between parties, including employers and employees. Employers often use arbitration agreements to...more

Seyfarth Shaw LLP

State Law Can Serve as a Backstop to the Federal Arbitration Act

Seyfarth Shaw LLP on

Seyfarth Synopsis: Since the Supreme Court’s decision in Southwest Airlines Co. v. Saxon, many employers have seen an uptick in plaintiffs seeking to avoid arbitration by arguing that they are transportation workers and thus...more

BakerHostetler

Second Circuit Again Considers if Bakery Goods Drivers Are Excluded Under the FAA Because They Are “Transportation Workers”. The...

BakerHostetler on

While the Supreme Court’s opinion in Southwest Airlines Co. v. Saxon, 142 S. Ct. 1783 (2022), brought needed clarity to the analysis of the class of workers excluded as “transportation workers” by the residual clause of the...more

Husch Blackwell LLP

SCOTUS Nixes Forced Arbitration Clause in Southwest Employment Contract of Cargo Ramp Supervisor

Husch Blackwell LLP on

In a unanimous 8-0 decision, in Southwest Airlines Co. v. Saxon, the U.S. Supreme Court (Court) held that airline cargo ramp supervisors that assist with loading and unloading cargo constitute a class of workers engaged in...more

Jackson Lewis P.C.

FAA’s Transportation Worker Exception Covers Airline Ramp Agents, U.S. Supreme Court Holds

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Individuals employed as ramp workers who frequently handle cargo for an airline are “transportation workers” exempt from the Federal Arbitration Act (FAA), the U.S. Supreme Court has held. Southwest Airlines Co. v. Saxon, No....more

Carlton Fields

Second Circuit Concludes That Workers Who Deliver Baked Goods Are Not Transportation Workers and Must Arbitrate Their Claims

Carlton Fields on

A divided panel of the Second Circuit recently held that independent distributors who distribute bakery products were not transportation workers and therefore were not exempt from the Federal Arbitration Act (FAA). The Second...more

Jackson Lewis P.C.

Supreme Court Considers Scope of FAA’s Transportation Worker Exemption

Jackson Lewis P.C. on

Do an airline’s ramp workers qualify as “transportation workers” exempt from the Federal Arbitration Act (FAA)? This question is pending before the U.S. Supreme Court in Southwest Airlines Co. v. Saxon (No. 21-309), a...more

Jackson Lewis P.C.

U.S. Supreme Court to Consider Whether Airline Ramp Worker Meets FAA Transportation Worker Exemption

Jackson Lewis P.C. on

Do an airline’s ramp workers qualify as “transportation workers” exempt from the Federal Arbitration Act (FAA)? The U.S. Supreme Court has granted an airline’s petition for review to resolve this question. Southwest...more

Morrison & Foerster LLP - Left Coast Appeals

This Week at the Ninth: Drug Tests and Foreign Arbitration

This week, the Ninth Circuit considers a challenge to the constitutionality of the FAA’s regulations governing drug and alcohol testing for air-carrier employees, and it wrestles with difficult choice-of-law questions...more

BakerHostetler

Order Sending Former Mail Sorter to Arbitration Teaches Some Lessons About Who Is a Transportation Worker and Agreement Coverage

BakerHostetler on

Since 2019, we have been tracking the decisions struggling to interpret the scope of the Federal Arbitration Act (FAA) Section 1 exemption for transportation workers. In other words, we’ve looked at who qualifies as a...more

Epstein Becker & Green

Ninth Circuit Conclusion That Amazon Delivery Drivers Don’t Need To Arbitrate Their Claims Under FAA’s “Transportation Worker”...

Epstein Becker & Green on

Given the ever increasing number of wage-hour class and collective actions being filed against employers, it is no surprise that may employers have turned to arbitration agreements with class and collective action waivers as...more

Jackson Lewis P.C.

New Jersey High Court Enforces Arbitration Agreement With Independent Contractors Under State Law

Jackson Lewis P.C. on

Companies in the transportation industry in New Jersey can enforce arbitration agreements with employees and independent contractors under the New Jersey Arbitration Act (NJAA), the New Jersey Supreme Court has held. Arafa v....more

Jackson Lewis P.C.

Navigating the Federal Arbitration Act’s Transportation Worker Exception After New Prime

Jackson Lewis P.C. on

As enforcing arbitration agreements with transportation workers under the Federal Arbitration Act (FAA) has become more difficult, employers should consider arbitration agreements with a potential alternative enforcement...more

Fisher Phillips

Court Uses 8-Factor Test To Hand Gig Businesses Victory In Next Round In New Prime Arbitration Battle

Fisher Phillips on

A Massachusetts federal court just ruled that gig workers cannot escape arbitration provisions by claiming they are exempt transportation workers. The September 30 decision in Austin v. DoorDash marks the second win for gig...more

Fisher Phillips

Round One of Critical New Prime Battle Goes To Gig Businesses

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Great news for gig economy businesses from an Illinois federal court: a judge recently ruled that Grubhub’s delivery drivers were not operating in “interstate commerce,” and therefore were not excluded from the company’s...more

Fisher Phillips

January 2019: The Top 16 Labor And Employment Law Stories

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It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

Buckingham, Doolittle & Burroughs, LLC

Federal Arbitration as an Alternative to Litigation Does Not Apply to Transportation Workers

Last week, employees received a rare victory that punches a sizable hole in previous laws that supported allowing arbitration in place of litigation. Recently, a unanimous Supreme Court determined that the regulation does not...more

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