Outside Iskanian’s Reach: Keeping PAGA Claims Alive in Federal Court

Here’s the scenario: You file a wage and hour class action in California state court, including a Private Attorney General Act of 2004 (“PAGA”) claim. The defendant removes the case to Federal Court under the Class Action Fairness Act of 2005 (“CAFA”) and then waves an arbitration agreement at the judge in its motion to dismiss. The judge reviews the agreement, notes a class waiver, and sends you off to arbitrate your client’s claims on an individual basis.

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