On September 8, 2022, Cintas Corporation filed a petition for a Writ of Certiorari after the United States Court of Appeals for the Sixth Circuit affirmed the Southern District of Ohio’s denial of a motion to compel arbitration. The Sixth Circuit upheld the District Court’s determination that the defined contribution Cintas Partners’ Plan had not consented to arbitration and, therefore, did not fall within the parameters of the arbitration agreement that Plaintiffs had signed.
Uber increases its leverage and bargaining power regarding bringing claims to arbitration by inserting mandatory arbitration provisions in consumer and employee agreements. These provisions serve to limit the available options for dispute resolution and thereby leave opposing parties little choice but to cooperate with Uber. Yet despite the precedent-evading benefits of arbitration, the possibility of mass arbitration presents Uber with different risks.
On February 23, 2022, U.S. District Judge Martha Pacold granted Uber’s motion to compel arbitration in a lawsuit over the classification of its employees under federal wage laws.