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9th Circuit: ERISA Claim Non-Arbitrable
By Imre Szalai, Outsourcing Justice, August 27, 2018
This post has been viewed 2,854 times.
This post has been viewed 2,854 times.
In Munro v. University of Southern California, No. 17-55550 (9th Cir. July 24, 2018) (click here for a copy of the decision), the Ninth Circuit held that claims for breach of fiduciary duty in the administration of ERISA plans are not covered by an arbitration agreement between an employee and employer. The court reasoned that such claims for breach of fiduciary duty are brought on behalf of the ERISA plan, not on behalf of the employees. By signing an arbitration agreement, an employee can waive a judicial forum only for claims belonging to the employee. However, the fiduciary duty claims at issue belonged to the ERISA plan, not employees.
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