Ninth Circuit Revives 3-Page ABM Arbitration Pact in California Wage Suit

1 articles · Updated · LawyersandSettlements.com · Aug 19

A Ninth Circuit panel reversed a district court ruling that had blocked ABM Aviation from enforcing an arbitration agreement against airport janitor Cocom in his California wage-and-hour class action.
The lower court had found the 3-page pact unconscionable because it was a take-it-or-leave-it hiring condition and Cocom was allegedly rushed through signing without a chance to negotiate or ask questions.
The appeals court instead held the agreement’s scope was limited to employment disputes, that limit effectively constrained its duration, and any lack of mutuality did not amount to substantive unconscionability.
The ruling strengthens ABM’s bid to push the August 2024 lawsuit out of court and into arbitration, while leaving open a broader California fight over how far adhesive employment contracts can restrict workers’ rights.