Employer Can’t Enforce Arbitration Agreement It Didn’t Sign

A Texas men’s club failed to convince a federal appeals court that it is entitled to arbitrate a group of servers’ federal wage claims.

Benelux Corp. can’t pursue arbitration with Octavia Mertens since her general manager didn’t countersign the arbitration agreement, the US Court of Appeals for the Fifth Circuit said in a Wednesday opinion affirming the lower court’s judgment.

Mertens and three other servers who were employed by Palazio Men’s Club in Austin, Texas, sued Benelux under the Federal Labor Standards ...