On April 23, 2024, in a published decision, the Second District Court of Appeal for the state of California affirmed a trial court’s denial of a motion to compel arbitration, finding that merely incorporating the AAA Employment rules in an arbitration agreement with an employee does not strip a court’s ability to determine whether an arbitration agreement is enforceable.

In reaching this decision, the Court joined the decisions of other California Courts of Appeal which found that the AAA rules do not provide “exclusive authority” to an arbitrator to decide on the arbitrability of a dispute. This will help enable regular employees to challenge company’s arbitration agreements which incorporate the AAA rules in Court, so that their claims can be ultimately heard by a judge – and not a private arbitrator.

A copy of the decision can be found here. Zachary Gershman of Lebe Law provided oral argument to the Court.

If you are interested in learning your rights as a salesperson, feel free to watch the video below and contact Lebe Law for a free consultation.