9th Circuit Joins Others With Arbitration Appealability Ruling

In Wal-Mart Wage & Hour 9th circuit appeals court holds unenforceable arbitration agreement clause that eliminates all federal court review.

Arbitration clauses are useful tools to ensure predictability in resolution of disputes between contractual parties. Amongst other provisions, the Federal Arbitration Act (FAA) severely limits the availability of judicial review of arbitration awards. And parties sometimes agree to altogether eliminate judicial review of such awards in order to ensure closure and speedy resolution of disputes. Until recently, such agreements were binding in the 9th Circuit.