Dispute over unsigned arbitration agreement means judges must wear detective’s cap

On July 18, 2022, the New Jersey Appellate Division provided a perfect reminder why all employers and HR professionals should diligently confirm that new hires complete all on-boarding paperwork. It reversed a trial court’s order compelling arbitration, finding that the terminated employee’s failure to sign or acknowledge receipt of an arbitration agreement presented a factual mystery that required a more in-depth investigation by the judge before she could enforce an unsigned arbitration agreement.

Background: The Mystery of the Unsigned Arbitration Agreement

The mystery began with the onboarding of Ravin Bhoj, who started his employment with OTG Management, LLC, on October 5, 2020, as its human resources director at Newark Liberty International Airport. He was hired by Peg Oerter, the regional director of human resources, who extended him an offer letter for the role via email on September 11, which he promptly signed and returned via email the following day.

Oerter’s email attaching the offer letter contained additional documents, including an agreement regarding postemployment competition (the noncompete agreement), all of which Bhoj signed and returned September 12. On October 5, he attended OTG’s onboarding training, which included a 30-minute block of time for new hires to complete additional HR paperwork in the company’s electronic onboarding program.