California’s Novel Arbitration Law Gets Ninth Circuit Test

California will try to convince a federal appeals court to revive the state’s novel law barring companies from forcing workers to sign arbitration agreements or other waivers of their legal rights, which a trial court judge blocked before the measure ever took effect.

The U.S. Court of Appeals for the Ninth Circuit will hear oral argument Monday in California’s bid to overturn a preliminary injunction against the law. A federal judge last December put the measure on ice at the behest of business groups, saying it’s trumped by a federal law requiring the enforcement of arbitration agreements.

The case will ...