Class and Collective Action Waiver for Employee Arbitration Agreements (US) | Practical Law

Class and Collective Action Waiver for Employee Arbitration Agreements (US) | Practical Law

This Standard Clause provides language employers can use when asking their employees to individually arbitrate employment-related claims, waiving the right to bring class or collective actions under the Federal Arbitration Act (FAA), as amended by the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (EFAA). It is suitable for inclusion in various employment-related agreements and addresses federal arbitration law while highlighting relevant state law variations. Key elements include the prohibition of class or collective action procedures in arbitration, the restriction on asserting such claims in any forum, and the stipulation that claims be brought individually. The clause also outlines the arbitrator's limited authority regarding class or collective claims and provides options for handling the invalidity or unenforceability of the waiver. This Standard Clause is designed for private employers with non-unionized workforces and includes drafting notes with explanations and tips.

Class and Collective Action Waiver for Employee Arbitration Agreements (US)

Practical Law Standard Clauses w-014-9454 (Approx. 18 pages)

Class and Collective Action Waiver for Employee Arbitration Agreements (US)

by Practical Law Labor & Employment
This Standard Clause provides language employers can use when asking their employees to individually arbitrate employment-related claims, waiving the right to bring class or collective actions under the Federal Arbitration Act (FAA), as amended by the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (EFAA). It is suitable for inclusion in various employment-related agreements and addresses federal arbitration law while highlighting relevant state law variations. Key elements include the prohibition of class or collective action procedures in arbitration, the restriction on asserting such claims in any forum, and the stipulation that claims be brought individually. The clause also outlines the arbitrator's limited authority regarding class or collective claims and provides options for handling the invalidity or unenforceability of the waiver. This Standard Clause is designed for private employers with non-unionized workforces and includes drafting notes with explanations and tips.