Bloomberg Law
April 30, 2018, 1:35 PM

Justices to Consider Data Breach Class Arbitration

Perry Cooper
Perry Cooper

The U.S. Supreme Court said today it will consider whether employees may pursue data breach claims against their employer as a class in arbitration.

Lamps Plus Inc. argues the arbitration agreement its employees sign requires them to arbitrate disputes individually. But the U.S. Court of Appeals for the Ninth Circuit held that an ambiguity in the contract should be construed in favor of the employees.

Other courts have been reluctant to allow classwide arbitration after the U.S. Supreme Court held that class arbitration is so different from individual arbitration that the arbitrator can’t presume that the parties agreed to it ...

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