In a unanimous ruling earlier this month, the Supreme Court of California held that an arbitration agreement waiving the public’s right to seek class-wide injunctive relief violates public policy and is therefore unenforceable. The landmark decision in McGill v. Citibank, N.A., pushes back on the U.S. Supreme Court’s decision in AT&T Mobility LLC v. Concepcion, which permits companies to force consumers’ class action claims, whether for damages or injunctive relief, into private arbitration. “A provision in any contract ... that purports to waive ... the statutory right to seek public injunctive relief under the UCL, the CLRA, or the False Advertising Law is invalid and unenforceable under California law,” wrote the California Supreme Court.
For more information on the recent decision, please visit https://dlbjbjzgnk95t.cloudfront.net/0910000/910792/decision.pdf