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Exotic Dancer Skips Arbitration, Advances FLSA Wage Collective

Dec. 14, 2021, 5:44 PM

An exotic dancer isn’t bound by an arbitration pact and may proceed as a certified Fair Labor Standards Act collective on claims dancers were underpaid because they were misclassified as independent contractors, a federal court in North Carolina ruled.

The arbitration pact isn’t enforceable because neither Capital Cabaret nor its owner, RPS Holdings LLC, were signatories—it was only signed by Siobhan James, the plaintiff, and an unnamed manager who wrote “Cap Cab” on the signature line, the court said.

RPS failed to establish that the manager was acting as the club’s agent or had any power to contract on its ...