John Amabile, Jonathan Crotty, and Sam Moses co-authored an article in Industry Today about the U.S. Supreme Court’s Southwest Airlines v. Saxon ruling and its challenges to arbitration clauses.
“What does it mean to be ‘actively’ engaged in interstate or foreign commerce? Deriving an answer to this question over the next several years will directly impact the litigation budgets of companies involved in interstate commerce,” they wrote.
“An 8-0 decision by the U.S. Supreme Court last June brought that question to the fore because the justices appeared to broaden the definition of workers deemed to be ‘engaged in foreign or interstate commerce,’ emphasizing workers who are ‘actively’ engaged,” they wrote. “Notably, the Court held that arbitration provisions contained in such employees’ employment contracts are unenforceable under the Federal Arbitration Act (FAA).”
“Thus, future litigation defining the scope of the Court’s ruling will be extensive and important as companies could lose the limits on lawsuits they thought they enjoyed from arbitration agreements with huge swaths of employees,” they continued.
You can read the full article here: New Questions Take Off With Airline Worker Decision
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