In a groundbreaking shift for workplace rights, Congress passed a new federal law aimed at ending forced arbitration in cases involving sexual harassment claims and sexual assault disputes. This law marks a significant victory for employees, enabling them to pursue justice in court rather than being confined to arbitration proceedings. Signed into law by President Biden with bipartisan support, the legislation has profound implications for employment disputes and the legal landscape surrounding mandatory arbitration provisions.
This article examines how the new federal law affects individuals who face harassment claims or assault claims, explains key protections under the law, and provides guidance on handling disputes.
How Mandatory Arbitration Has Historically Affected Harassment and Assault Claims
For decades, mandatory arbitration agreements in employment contracts have been a standard practice, forcing employees to resolve employment claims through arbitration proceedings rather than in court. These agreements often included predispute arbitration agreements and class action waivers, limiting employees’ options for justice.
Employers favored arbitration for its privacy and cost-efficiency. However, critics argued that arbitration clauses in such agreements silenced victims and minimized accountability for perpetrators. The inability to publicly address sexual harassment allegations or sexual assault claims perpetuated cycles of misconduct in workplaces.
Key Changes Introduced by the New Law
The new federal law, officially titled the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act, alters the balance of power in employment disputes. It allows employees to bypass mandatory arbitration provisions in disputes involving sexual harassment or sexual assault allegations, choosing instead to bring their cases to court.
Key Features of the Law:
Overrides Preexisting Arbitration Clauses: The law nullifies predispute arbitration agreements and predispute joint action waivers for sexual harassment claims and assault claims.
Gives Plaintiffs the Choice: Employees alleging conduct constituting sexual harassment or a nonconsensual sexual act can decide whether to pursue their case in court or arbitration.
Applies Retroactively: The law applies to dispute relating to employment contracts signed before the law’s enactment.
Excludes Collective Action Waivers: Employees can bypass collective action waivers, enabling broader legal recourse.
By removing the constraints of mandatory arbitration, this act amends the Federal Arbitration Act and paves the way for greater transparency and accountability in addressing sexual harassment disputes.
What Constitutes Sexual Harassment or Assault Under the Law?
The law protects anyone who experiences workplace misconduct falling under sexual harassment or sexual assault as defined by federal law or state law.
Examples of Behavior That Constitutes Sexual Harassment:
Unwanted sexual advances or remarks
Physical intimidation with sexual undertones
Retaliation against individuals reporting misconduct
Examples of a Nonconsensual Sexual Act in Assault Claims:
Physical actions taken without consent
Coercive behavior leading to unwanted contact
Whether the plaintiff alleged a single incident or a pattern of behavior, the court concluded the right to bypass arbitration applies to such claims.
Why This Law Matters for Employees and Employers
For Employees:
This law ensures that victims of sexual harassment or sexual assault have a public and fair opportunity to seek justice. It eliminates the secrecy surrounding arbitration proceedings and empowers victims to hold perpetrators accountable without fear of retaliation.
For Employers:
Companies must reassess their arbitration agreements and ensure compliance with the law. Attempting to compel arbitration in sexual harassment disputes or sexual assault disputes could result in legal penalties.
Steps to Take If You Experience Workplace Harassment or Assault
If a dispute arises involving sexual harassment or sexual assault allegations, consider these steps:
Document the Incident: Record dates, times, and details of the misconduct.
Consult an Attorney: Seek legal guidance to determine whether the behavior constitutes sexual harassment or assault.
Review Your Arbitration Agreements: Even if your contract includes an arbitration clause, the new federal law may allow you to pursue your case in court.
File a Complaint: Report the misconduct through internal channels or directly to legal authorities.
A Landmark Shift in Employment Law
The Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act represents a critical turning point in addressing workplace misconduct. By nullifying mandatory arbitration agreements for sexual harassment claims and sexual assault claims, the law provides victims with greater autonomy and access to justice.
If you’re dealing with a dispute involving harassment or assault, the attorneys at Bourassa Law Group can help. Our experienced team is dedicated to protecting your rights and guiding you through the complexities of employment-related claims.
Contact Us Today
Don’t let a predispute arbitration agreement or joint action waiver limit your options. Contact us for a free consultation, and let’s work together to secure the justice you deserve.
1-800-870-8910