Alternative Dispute Resolution
Nov. 4, 2026
California Supreme Court questions tactic to sidestep arbitration in PAGA suits
Justices appeared divided over whether employees can pursue representative claims under the Private Attorneys General Act while disclaiming individual claims that could be sent to arbitration.
State Supreme Court justices questioned Tuesday whether employees can sidestep arbitration agreements by filing lawsuits under the Private Attorneys General Act on behalf of co-workers while expressly declining to pursue their own claims.
During oral arguments, several justices expressed concern that the increasingly common tactic, known as a "headless PAGA" lawsuit, could conflict with federal arbitration law.
The court took the unusual step last year of agreeing...
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