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November 14, 2007

Sixth Circuit Enforces Arbitration Agreement Mailed to Employees

Amgen_3 Paul Mollica, in Daily Developments, discusses yesterday's Sixth Circuit decision compelling arbitration under a policy received by employees through the mail in a brochure, accepted merely by continued employment.  Judge Boyce Martin dissents:

The Court's ruling today goes too far in subordinating the constitutional rights of employees to the convenience of employers. The 'agreement' between Seawright and AGF - which was not signed, contained a unilateral working-as-acceptance provision, and constituted a total waiver of the right to access a court - goes past the acceptable limit of what employers can force upon their employees without the employees' consent.

The case is Seawright v. American Gen Fin Servs., No. 07-5091 (6th Cir. Nov. 13, 2007).  For a thorough discussion of offer/acceptance and notice/consent issues in employment arbitration agreements, including offers-by-mail and acceptances-by-continued-employment, see my 2006 article Contract Formation Issues in Employment Arbitration and my 2007 article Beyond the Protocol: Recent Trends in Employment Arbitration

rb

November 14, 2007 in Arbitration | Permalink

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