Litigation partner Sarah Kroll-Rosenbaum authored an article for the American Staffing Association on the impact of the Viking River case on California Private Attorneys General Act (PAGA) Claims. The recent U.S. Supreme Court ruling in Viking River Cruises Inc. v. Moriana has significant implications for staffing companies operating in California, addressing employer arbitration agreements that cover employee claims under California’s PAGA. The question was whether claims can be arbitrated; the Supreme Court ruled that under the Federal Arbitration Act, employers may compel employees to submit their individual claims to arbitration, rejecting California case law requiring joinder of the claims of individuals and other aggrieved employees.

"To reduce their exposure to nonindividual representative PAGA claims, staffing agencies operating in California should consider modifying their arbitration agreements to encompass the arbitration of individual PAGA claims and should consult with expert counsel as to how such agreements should be written in light of Viking River," wrote Kroll-Rosenbaum.