enforceability of a delegation clause in California

2023(Tiri, supra, 226 Cal.App.4th at p. 244 .) As we discussed, when challenging the enforceability of a delegation clause, “any claim of unconscionability must be 11 The delegation clause here did not use the term “exclusive authority,” but the arbitrator’s exclusive authority to determine issues of enforceability is implied by the provision that “[t]he arbitrator, and not any federal, state or local court or agency, shall have authority to decide any such issue or dispute.” (Italics added.) 19 specific to the delegation clause.”12 (Ibid., citing Rent-A-Center, supra, 561 U.S. at p. 73 .) We have

2023(Tiri, supra, 226 Cal.App.4th at p. 244 .) As we discussed, when challenging the enforceability of a delegation clause, “any claim of unconscionability must be 11 The delegation clause here did not use the term “exclusive authority,” but the arbitrator’s exclusive authority to determine issues of enforceability is implied by the provision that “[t]he arbitrator, and not any federal, state or local court or agency, shall have authority to decide any such issue or dispute.” (Italics added.) 19 specific to the delegation clause.”12 (Ibid., citing Rent-A-Center, supra, 561 U.S. at p. 73 .) We have

2018If a party challenges the validity under § 2 [of the FAA] of the precise agreement to arbitrate at issue, the federal court must consider the challenge before ordering compliance with that agreement under § 4 [of the FAA]."].) "An exception to this rule applies when the parties have clearly and unmistakably agreed to delegate questions regarding the validity of the arbitration clause to the arbitrator." ( Nielsen , at p. 1108, 232 Cal.Rptr.3d 282 .) These so-called "delegation clauses" are generally enforceable according to their terms, requiring the issue of arbitrability to be submitted to t

2018If a party challenges the validity under § 2 [of the FAA] of the precise agreement to arbitrate at issue, the federal court must consider the challenge before ordering compliance with that agreement under § 4 [of the FAA]."].) "An exception to this rule applies when the parties have clearly and unmistakably agreed to delegate questions regarding the validity of the arbitration clause to the arbitrator." ( Nielsen , at p. 1108, 232 Cal.Rptr.3d 282 .) These so-called "delegation clauses" are generally enforceable according to their terms, requiring the issue of arbitrability to be submitted to t

2019(See New Prime , supra , --- U.S. ----, 139 S.Ct. at p. 539 [articulating the same legal test for both concepts].) Although Minnieland addressed a delegation clause, the legal analysis for deciding whether a delegation clause should be enforced and whether the validity of an agreement to arbitrate is severable from the merits of the underlying dispute are the same.

2019(See New Prime, supra, ___U.S. at p. ___ [ 139 S.Ct. at p. 539 ] [articulating the same legal test for both concepts].) 9 parties are bound by a given arbitration clause,’ or ‘whether an arbitration clause in a concededly binding contract applies to a particular type of controversy.’ ” (BG Group, PLC v. Republic of Argentina (2014) 572 U.S. 25, 34 , citation omitted.) However, in a line of cases beginning with Prima Paint Corp. v. Flood & Conklin Mfg.

2023An arbitration agreement imposed as a condition of employment with no opportunity to negotiate is typically adhesive and demonstrates some level of procedural unconscionability. ( Armendariz, supra, 24 Cal.4th at pp. 113, 114–115 [adhesive contract is a standardized contract that, “ ‘imposed and drafted by the party of superior strength, relegates to the subscribing party only the opportunity to adhere to the contract or reject it’ ”]; Baltazar v. Forever 21, Inc. (2016) 62 Cal.4th 1237, 1244 [adhesive contracts “ ‘contain a degree of procedural unconscionability even without any notable surpr

2020(See Rent-A- Center, supra, 561 U.S. at p. 70 [“[a]n agreement to arbitrate a gateway issue is simply an additional, antecedent agreement the party seeking arbitration asks the federal court to enforce, and the FAA operates on this additional arbitration agreement just as it does on any other”]; Jackpot Harvesting, Inc. v. Applied Underwriters, Inc. (2019) 33 Cal.App.5th 719, 730, fn. 11 (Jackpot Harvesting) [“[t]he same legal test governs the inquiries whether an arbitration agreement is severable from the rest of the contract such that a court should decide its validity and whether a court o

2020(See Rent-A- Center, supra, 561 U.S. at p. 70 [“[a]n agreement to arbitrate a gateway issue is simply an additional, antecedent agreement the party seeking arbitration asks the federal court to enforce, and the FAA operates on this additional arbitration agreement just as it does on any other”]; Jackpot Harvesting, Inc. v. Applied Underwriters, Inc. (2019) 33 Cal.App.5th 719, 730, fn. 11 (Jackpot Harvesting) [“[t]he same legal test governs the inquiries whether an arbitration agreement is severable from the rest of the contract such that a court should decide its validity and whether a court o

2020(See Rent-A- Center, supra, 561 U.S. at p. 70 [“[a]n agreement to arbitrate a gateway issue is simply an additional, antecedent agreement the party seeking arbitration asks the federal court to enforce, and the FAA operates on this additional arbitration agreement just as it does on any other”]; Jackpot Harvesting, Inc. v. Applied Underwriters, Inc. (2019) 33 Cal.App.5th 719, 730, fn. 11 (Jackpot Harvesting) [“[t]he same legal test governs the inquiries whether an arbitration agreement is severable from the rest of the contract such that a court should decide its validity and whether a court o

2020(See Rent-A- Center, supra, 561 U.S. at p. 70 [“[a]n agreement to arbitrate a gateway issue is simply an additional, antecedent agreement the party seeking arbitration asks the federal court to enforce, and the FAA operates on this additional arbitration agreement just as it does on any other”]; Jackpot Harvesting, Inc. v. Applied Underwriters, Inc. (2019) 33 Cal.App.5th 719, 730, fn. 11 (Jackpot Harvesting) [“[t]he same legal test governs the inquiries whether an arbitration agreement is severable from the rest of the contract such that a court should decide its validity and whether a court o

2020(See Rent-A- Center, supra, 561 U.S. at p. 70 [“[a]n agreement to arbitrate a gateway issue is simply an additional, antecedent agreement the party seeking arbitration asks the federal court to enforce, and the FAA operates on this additional arbitration agreement just as it does on any other”]; Jackpot Harvesting, Inc. v. Applied Underwriters, Inc. (2019) 33 Cal.App.5th 719, 730, fn. 11 (Jackpot Harvesting) [“[t]he same legal test governs the inquiries whether an arbitration agreement is severable from the rest of the contract such that a court should decide its validity and whether a court o