Your employer is proposing to resolve an employment dispute through arbitration instead of going to court. Should you accept? What do you lose? What do you gain? At Liberation Law Group, we see this dilemma constantly — and the answer depends on the specifics of your case.
My name is Arlo Uriarte, an employment lawyer at Liberation Law Group. Call 1-888-442-2642 or request your free consultation here. 24/7 in English and Spanish.
Arbitration vs. Court: Key Differences
Arbitration is a private process where an arbitrator (instead of a judge and jury) decides the outcome of your case. It can be faster and less formal than a trial. However, for workers, it has significant disadvantages: arbitrators are frequently paid by companies, decisions are almost unappealable, the process is private (without the deterrent effect of a public trial), and recoveries in arbitration tend to be lower than in court.
Since 2022, sexual harassment and sexual assault cases cannot be forced into arbitration — you can choose court regardless of the agreement you signed. For other types of cases, an attorney can evaluate whether the arbitration is valid and if you have alternatives. Read about employment arbitration agreements in California. And why sexual harassment claims are no longer subject to arbitration.
When Arbitration Can Be Valid — and When It Cannot
An arbitration agreement may be invalid if it was presented as a condition of employment without an opportunity to negotiate (procedural unconscionability), if its terms are fundamentally inequitable (substantive unconscionability), or if it requires the waiver of non-waivable rights under California law. Many arbitration agreements in California have legal issues that an attorney can identify. Read about the Labor Commissioner process as an alternative.
Has arbitration been proposed to you? Consult with an attorney before accepting.
Attorney Arlo Uriarte can review your agreement and explain your options — for free, in Spanish. 1-888-442-2642 — free consultation here — 24/7.
Frequently Asked Questions
Should I accept arbitration if my employer proposes it after a dispute?
Not necessarily. You are not obligated to accept voluntary arbitration simply because your employer proposes it. If you already have a mandatory arbitration agreement, an attorney can evaluate its validity. If the case involves sexual harassment, you can reject arbitration entirely. Call 1-888-442-2642 before accepting any proposal from your employer.
Is arbitration always less favorable for the worker?
Not always — but statistically, arbitration outcomes for workers tend to be less favorable than in court, especially when the arbitrator has a historical relationship with the employer. An attorney experienced in arbitration can navigate the process effectively. Call 1-888-442-2642.
What is PAGA and can it avoid arbitration?
Yes. PAGA (Private Attorneys General Act) actions allow an employee to act as a private attorney general on behalf of the state. Arbitration agreements cannot completely block PAGA actions. This is a powerful tool, especially when the employer has an arbitration agreement with a class action waiver clause. Read about class actions and PAGA in California. Call 1-888-442-2642.
How long do I have to sue?
Wage theft: 3 years (4 UCL). FEHA discrimination/harassment: 3 years. PAGA: 1 year. Act soon. Call 1-888-442-2642.
How much does it cost to hire Liberation Law Group?
Nothing upfront. Full contingency. We only get paid if we win. In successful cases, the employer pays fees. Free consultation. Call 1-888-442-2642.
Can my employer retaliate against me?
No. Illegal retaliation adds significant compensation. Read about workplace retaliation. Call 1-888-442-2642.
Do undocumented workers have the same rights?
Yes. Code § 7285. Full confidentiality. No contact with agencies. Call 1-888-442-2642.
Do I have to go to court?
Not necessarily. Most cases are resolved through negotiation in 6-18 months. But we are ready to litigate if necessary. Call 1-888-442-2642.
Call 1-888-442-2642 or complete our free form. Attorney Arlo Uriarte is ready — in English or Spanish, at no cost, 24/7.
Liberation Law Group — Attorneys for Workers 24/7
2760 Mission Street, 2nd Floor, San Francisco, CA 94110
1-888-442-2642
Free Consultation in English or Spanish — No Obligation — No Fee Until We Win
