Legal Alert - Ninth Circuit Joins Second and Eighth Circuits in Rejecting D.R. Horton
by Swen Prior and Karl O. Riley
Recently, in Richards v. Ernst & Young, No. 11-17530, 2013 WL 4437601 (9th Cir. August 21, 2013), the Ninth Circuit joined two other federal circuits, the Second and the Eighth, in rejecting the application of the National Labor Relations Board’s (“NLRB”) decision of In re D.R. Horton, 357 N.L.R.B. No. 184, 2012 WL 36274 (Jan., 3, 2012).
In D.R. Horton, the NLRB invalidated an arbitration agreement requiring an employee to waive class arbitration because it purportedly violated the National Labor Relations Act by infringing the employee’s right to seek collective action.