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Who wins in Supreme Court's arbitration ruling?

 

WASHINGTON (CNN) -- The U.S. Supreme Court ruled Wednesday in Circuit City Stores v. Adams that the Federal Arbitration Act allows businesses to require workers to agree to take any disputes with the company to arbitration instead of to court.

The 5-4 ruling is seen as a victory for businesses which will be able to avoid the time and expense of litigation.

It is not a big setback for workers because nothing compels a worker to sign the agreement for arbitration unless he or she desperately needs a job. The court also left open the option for workers to challenge arbitration agreements that are unfair.

In a pair of articles, lawyers on both sides of the dispute express their views on how the court's opinion will affect American workers.

Michael Rubin, a partner with the San Francisco, California, law firm of Altshuler, Berzon, Nussbaum, Rubin & Demain, represented Saint Clair Adams in his challenge to Circuit City's mandatory arbitration policy. Lawrence Z. Lorber, a partner with Proskauer, Rose, co-wrote an amicus curiae brief for the U.S. Chamber of Commerce supporting arbitration.



"The only people who may lose are litigation lawyers, and even though I'm one of them, I don't know anyone who's going to cry for employment lawyers."
— Lawrence Z. Lorber

Lorber: Arbitration good for companies and workers
"The court also indicated that its opinion might lend some clarity to this area, but the result is that we may have employees in a company like Circuit City standing side by side, some of whom will be covered by the Federal Arbitration Act and some will not."
— Michael Rubin

Rubin: Court made anti-federalist decision


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