Small Business Reacts to Assembly Passage of AB 3080 (Gonzalez Fletcher)

Date: May 30, 2018

Sweeping ban on arbitration agreements will cause wave of litigation

FOR IMMEDIATE RELEASE
NFIB in California
Contact: Shawn Lewis (916) 342-9315; [email protected]
Follow: @NFIB_CA and on Facebook

Small Business Reacts to Assembly Passage of AB 3080 (Gonzalez Fletcher)
Sweeping ban on arbitration agreements will cause wave of litigation

SACRAMENTO, Calif., May 30, 2018 – Following the Assembly passage of AB 3080 (Gonzalez Fletcher) this evening, NFIB’s California State Director John Kabateck issued the following statement on behalf of our more than 20,000 dues-paying small business members:

“On behalf of our more than 20,000 small business members here at in NFIB in California, we are deeply troubled by the passage of Assembly Bill 3080, which represents a major step toward a sweeping ban on arbitration in employment agreements in California. For decades, arbitration has represented a cost-effective, efficient means to resolve employment disputes to the benefit of both the employee and employer. As our courts only become more congested and backlogged, AB 3080 would represent only further delays in justice, especially for low-income workers who cannot afford an attorney in court.

“While AB 3080 provides no new rights or protections for employees, it certainly creates more litigation and profit opportunities for trial lawyers. In addition to the serious flaws in this policy proposal, we also have seen the United States Supreme Court consistently strike down limitations on arbitration agreements such as this. Nevertheless, NFIB will continue to strongly oppose this measure in the State Senate as it moves forward in the legislative process.”

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NFIB is the voice of small business, advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is nonprofit, nonpartisan, and member-driven. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit www.nfib.com/CA.

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