Lauren Teukolsky was recently quoted in a Bloomberg article about the increasing use by California employees of “headless” PAGA cases to avoid being forced to arbitrate their wage-and-hour claims. The Private Attorney Generals Act (PAGA) permits employees to act as deputies of the state and bring a suit on behalf of themselves and other aggrieved employees to enforce the Labor Code.  In 2022, the United State Supreme Court ruled that employers may not require employees to waive PAGA claims via a mandatory arbitration agreement.  But the Court also ruled that employers can require employees to split their “individual PAGA claim” from the claim on behalf of others, and to arbitrate the individual claim.

​A headless PAGA case is one in which the plaintiff disclaims all individual claims, including the individual PAGA claim, and files the lawsuit to seek PAGA penalties solely on behalf of other aggrieved employees.  This strategy was galvanized after the California Court of Appeals issued Balderas v. Fresh Start Harvesting in April 2024, holding that workers who disclaim their individual claims can still bring a group PAGA action on behalf of other aggrieved employees.  While Balderas was not about arbitration, several plaintiffs’ lawyers have seized on the holding of the case to file headless PAGA cases in an effort to stay out of arbitration. 

​As stated in the Bloomberg article, Ms. Teukolsky’s analysis of 20 post-Balderas orders reveals that the majority of trial courts are following Balderas and permitting PAGA plaintiffs who disclaim individual claims to avoid arbitration.  A small but significant minority are distinguishing Balderas and still requiring PAGA plaintiffs to arbitrate their “aggrieved employee” status.  The Bloomberg article quoted Ms. Teukolsky saying, “Given this split, I anticipate we will see more decisions from the Court of Appeals in the next year or two about whether a PAGA plaintiff can stay out of arbitration by disclaiming all individual claims.”

Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times. To read the article in its entirety, click here. If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

Lauren Teukolsky will speak at the Sixth Annual CLE Conference on Gender Discrimination and Harassment Law at the UC Berkeley School of Law. The conference is on Thursday, January 23, 2025, and Friday, January 24, 2025. Berkeley’s Center on Comparative Equality and Anti-Discrimination Law is hosting  the conference, which will explore new developments in gender discrimination and harassment law in California and other jurisdictions. Ms. Teukolsky is scheduled to speak on forced arbitration of employment claims, alongside David Lowe, a Partner at Rudy Exelrod Zieff & Lowe, and Steve Tindall, a Partner at Gibbs Law Group. Topics covered will include a new federal law excluding sexual harassment and sexual assault claims from arbitration (the “Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021”), and recent cases that interpret its scope. 

​Ms. Teukolsky has worked to protect employees’ rights for over two decades and regularly speaks at conferences on employment law. Last September, Ms. Teukolsky was selected to moderate a session at CELA’s (California Employment Lawyer Association) 36th Annual Employment Law Conference on individual wage-and-hour arbitrations. Her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

Ms. Teukolsky’s panel takes place on Friday, January 24, 2025, at 1:30 PM PT at The International House in Berkeley. To register for the conference, click here. If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

Lauren Teukolsky was selected to moderate a session at CELA’s (California Employment Lawyer Association) upcoming 36th Annual Employment Law Conference. The session is titled, “Arbitrating Wage & Hour Cases from Start to Finish,” and will address strategies for plaintiff-side employment attorneys to pursue in wage-and-hour arbitrations. At the session, Ms. Teukolsky will guide a conversation with Amy Semmel, a mediator and arbitrator at Semmel ADR, Steven Tindall, a partner at Gibbs Law Group LLP, and Jason Whooper, Managing Attorney at W Law.

CELA is a statewide organization that works to protect and expand the legal rights of workers through litigation, education, and advocacy. Their annual employment law conferences provide days-long arrays of educational sessions and talks in addition to serving as networking forums for California’s plaintiff-side employment attorneys. This year’s conference is in San Francisco and will begin on Thursday, September 28th. The conference will conclude on Friday, September 30th.

Ms. Teukolsky has worked to protect employees’ rights for over two decades and regularly speaks at events and panels on employment law. Most recently, Ms. Teukolsky appeared on a pair of panels hosted by the Alameda County Bar Association and Beverly Hills Bar Association. 
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To learn more about Ms. Teukolsky’s practice, click here. For more information on CELA’s 36th Annual Employment Law Conference and a complete schedule of its sessions, click here. 

​Lauren Teukolsky’s commentary was featured in a recent Law360 article on the Ninth Circuit’s recent ruling that California’s A.B. 51 is preempted by federal law.  AB 51 prohibited employers from forcing employees to give up their civil rights, such as the right to a jury trial and the right to appeal an adverse decision, as a condition of employment.  The ruling, a reversal of the Ninth Circuit’s own prior decision in 2021, is a significant blow to the state’s workers.

California Governor Gavin Newsom signed A.B. 51 into law in 2019, making it illegal for employers to force individuals to waive their right to bring civil rights cases in court as a condition of employment. Arbitration agreements typically stipulate that all claims made by workers—regardless of their severity—must be resolved under private arbitration, a process that overwhelmingly favors employers, disproportionately harms historically marginalized communities, and shields corporations from public scrutiny and accountability. A.B. 51 was meant to ensure that employees were not coerced into signing away their rights, and that all waivers of these significant rights were voluntary.

Last year, a three judge Ninth Circuit panel voted to revisit a 2021 decision in which it partially reversed an injunction that stopped California from enforcing A.B. 51. Last month, the panel found that the Federal Arbitration Act preempted A.B. 51, nullifying the law in most situations and allowing California’s corporations to once again force workers to sign arbitration agreements waiving their civil rights.

Law360’s article features analysis and advice from management-side and workers- side attorneys on how corporations and workers’ advocates should respond to the Ninth Circuit’s decision. In the article, Ms. Teukolsky advises plaintiffs’ lawyers to be extremely cautious when advising clients on arbitration agreements:

"’Plaintiff-side employment attorneys need to think very carefully before they advise an employee to refuse to sign one of these arbitration agreements,’ Teukolsky said. ‘I think you need to advise them: you may lose your job over this. Is that a risk you're willing to take?’"  Ms. Teukolsky speaks from experience: she filed one of the only cases under A.B. 51 after her client was fired for expressing opposition to signing away her rights.
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To read the article in its entirety, click here. For the Court’s opinion holding that A.B. 51 is preempted, click here.
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If you have concerns about an arbitration agreement your employer has recently asked you to sign, click here to get in touch with our office. 

On Friday, April 8, Teukolsky Law filed a lawsuit in Los Angeles Superior Court on behalf of April Blackwell, a 37-year-old Black woman, against The Pendry West Hollywood, a luxury hotel owned by Montage International on the iconic Sunset Strip. The lawsuit is the first of its kind, alleging that the Pendry terminated Ms. Blackwell because she said she did not want to sign a mandatory arbitration agreement giving up her ability to sue the Pendry for race discrimination and similar claims in a court of law.

Forcing job applicants and employees to sign forced arbitration agreements was recently made illegal in California by Assembly Bill 51 (AB 51). Under forced arbitration agreements, all claims made by workers—regardless of their severity—must be resolved under private arbitration, a process that overwhelmingly favors employers, disproportionately harms historically marginalized communities, and shields corporations from public scrutiny and accountability.  As a condition of employment, The Pendry required Ms. Blackwell to give up her right to access the courts, her right to a jury trial, her right to appeal an erroneous decision, and her right to conduct full discovery to prosecute her claims.  When she refused to give up her rights, the Pendry fired her after just one day of work.

California Governor Gavin Newsom signed AB 51 into law in late 2019 after widespread public outrage over arbitration agreements that hid allegations of sexual harassment and assault against Hollywood producer Harvey Weinstein and other prominent figures. The fate of AB 51 is currently in limbo. In 2021, the Ninth Circuit Court of Appeals upheld AB 51 in Chamber of Commerce of United States v. Bonta, 13 F.4th 766, 771 (9th Cir. 2021) (“Bonta”). However, the Ninth Circuit is deferring a vote on whether to rehear Bonta until after the United States Supreme Court issues a ruling in another arbitration case argued in late March 2022.

Still, even if AB 51 is ultimately struck down, Ms. Blackwell’s claims against the Pendry will survive because California law protects employees who are terminated for expressing opposition to conduct they reasonably believe is unlawful, which is exactly what Ms. Blackwell did.
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To view the complaint, click here.