Arbitration Agreements and Clauses

These days, employers are increasingly requiring employees to sign agreements that require that any dispute relating to or arising out the course of the employment be resolved through binding arbitration rather than through a court proceeding.

Employers find that arbitration offers a less costly alternative to litigation, is less time consuming, and presents less of a risk of exposure due to the fact that the ultimate decision is made by a panel of arbitrators rather than by a jury.

On the other hand, employees who sign a valid arbitration agreement may be prevented from having the opportunity to file any legal claims in court and present their case to a jury who are often more sympathetic than a panel of professional arbitrators.

Whether, and to what extent, a claim is subject to arbitration is often determined by the language of the arbitration agreement as well as the type of claim that is involved. Other issues may include when the arbitration agreement was signed and whether it was signed prior to, as opposed to during, the course of the employment relationship.

To speak with an experienced New Jersey Employment Law Attorney, contact the Law Offices of Gregory S. Schaer, LLC, conveniently located in Monmouth County, New Jersey.