In a 5-4 decision penned by Justice Scalia, the Supreme Court on April 27, 2011, reversed the Ninth Circuit in the case of AT&T Mobility LLC v. Concepcion, providing a holding that may be easily extrapolated from the consumer class action context in which it arose to the employment arena.  In Concepcion, the Supreme Court rejected the application of California’s “Discover Bank rule,” opining that, “it stands as an obstacle to the accomplishment and execution of Congress” and finding that it was preempted by the Federal Arbitration Act.  

Source: Labor & Employment Alert