KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE

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Can your Employment Agreement require employees to arbitrate disputes
July 27, 2018
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Can your Employment Agreement require employees to arbitrate disputes
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    First let's discuss the more basic issue, do you have and use an Employment Agreement with your employees? If you don't, you deserve the aggravation you are likely to experience in the future. If you do have and use an Employment Agreement then you should consider the next issue, is it a Standard Employment Agreement which is one of the forms on Kirschenbaum TM contracts? If not, then you probably don't have all the protection you could have, and don't bother calling K&K for help when your problem arises. If you think you'll never have a problem with employees you should be playing the lottery; it's that kind of luck.
    It is now settled law, in all states [including those who tried relentlessly to prohibit a provision compelling arbitration] that an arbitration provision must be enforced in an employment agreement. The United States Supreme Court recently decided Epic Systems Corp. v. Lewis,and held that the Federal Arbitration Act -- which generally provides that parties should be permitted to enter into agreements to resolve their disputes privately through arbitration – takes precedence over federal labor law, and requires that such agreements be upheld even between employers and their employees. 
    This is an important decision for employers because it can prevent employee class actions and can compel the aggreived employee to have the dispute determined in binding arbitration.
    The Standard Employment Agreement has contained an arbitration clause for a long time. You need to get this agreement and use it with all of your employees, not just the sales help and technicians, all employees. 
    Get the Employment Agreement at www.alarmcontracts.com For companies with more than a few employees it is also a good idea to have a company Handbook, and we provide that as well, which we will customize to fit your company rules and regulations [after you read what we have provided in the form Handbook]. Any questions? Call our Contract Administrator Eileen Wagda at 516 747 6700 x 312. While you're at it, discuss with her updating your subscriber contracts
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Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301
ken@kirschenbaumesq.com
516 747 6700
www.KirschenbaumEsq.com