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California court clarifies rule regarding payment of arbitration fees

September 2023 employment law letter
Authors: 
Ivan Muñoz, Duane Morris LLP

A California appellate court, recently tasked with interpreting what constituted “payment” for purposes of complying with California’s arbitration laws, ruled that an arbitration service provider must receive payment of any arbitration costs or fees within the statutorily prescribed timeframe, or the employer otherwise waives the right to arbitration. The court clarified that “the check is in the mail” (merely sending payment) within the timeframe spelled out by California’s arbitration laws is insufficient compliance.

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