New Prime, Inc. v. Oliveira
1. Whether a dispute over applicability of the FAA’s Section 1 exemption is an arbitrability issue that must be resolved in arbitration pursuant to a valid delegation clause.
2. Whether the FAA’s Section 1 exemption, which applies on its face only to “contracts of employment,” is inapplicable to independent contractor agreements.
U.S. Supreme Court issues decision on arbitration in transportation industry
Supreme Court issued a unanimous 8-0
decision that the exception to the Federal Arbitration Act for “contracts of employment” for certain workers in interstate transportation includes workers categorized as independent contractors. The decision may make it substantially more difficult for businesses in the interstate transportation industry to enforce arbitration agreements with their independent contractor workers. The Chamber filed amicus briefs in support of cert. and at the merits stage opposing this result.
U.S. Chamber files amicus brief in U.S. Supreme Court defending application of the Federal Arbitration Act to independent contractors engaged in interstate commerce
Click here to view the amicus brief filed by the U.S. Chamber and Society for Human Resource Management.
Andrew J. Pincus, Archis A. Parasharami, and Daniel E. Jones of
Mayer Brown LLP served as co-counsel for the amici.
U.S. Chamber urges U.S. Supreme Court to protect enforceability of arbitration agreements with independent contractors in interstate transportation industry
A First Circuit panel held that the FAA does not apply to independent contractors in the transportation industry. The panel reasoned that such independent contractors fall within the exception to the FAA for “contracts of employment of seamen, railroad employees, or any other class of workers engaged in foreign or interstate commerce.” After the rehearing petition was denied, New Prime, Inc. filed a petition for certiorari, which the U.S. Chamber filed an
amicus brief supporting.
Andrew J. Pincus, Archis A. Parahsarami, and Daniel E. Jones of
Mayer Brown LLP served as co-counsel for the U.S. Chamber of Commerce on behalf of the U.S. Chamber Litigation Center.