OLYMPIA, Wash. (Legal Newsline) – A pizza restaurant tried to force disputes with employees into arbitration but has failed.
The Washington Supreme Court ruled Aug. 20 that delivery driver Steven Burnett never had a chance to review the arbitration clause before signing his employment agreement. Burnett has filed a wage and hour class action against Pagliacci Pizza.
The arbitration clause was contained in an employee handbook given to Burnett after he signed an employment relationship agreement that did not contain the clause.
Burnett “lacked meaningful choice,” making the clause unconscionable.
“Because essential terms were hidden and Burnett had no reasonable opportunity to understand the arbitration policy before signing the employment contract, the manner in which the contract was entered demonstrated that Burnett lacked a meaningful choice regarding the arbitration policy,” Justice Barbara Madsen wrote.
“(W)e hold that even if an arbitration agreement was indeed established, it was procedurally unconscionable and unenforceable.”
The decision was unanimous. The case caught the attention of the Washington State Association for Justice Association – the state’s plaintiffs lawyers group. Also participating in the case were the Washington Employment Lawyers Association, P.C. Public Justice and the Washington Hospitality Association.