Ex-employee should arbitrate alleged labor law violations involving herself, employer argues

In the case of Galarsa v. Dolgen California, LLC, a woman sued her former employer for civil penalties under the Private Attorneys General Act of 2004 (PAGA) for violations of California’s Labor Code allegedly suffered by her or by other employees.

In March 2016, the plaintiff applied for employment as an hourly-paid assistant manager at Dolgen California, LLC – the defendant in the case and a wholly-owned subsidiary of Dollar General Corporation. She accessed the company’s express hiring system, electronically signed its arbitration agreement, and marked a box stating that she agreed to the agreement’s terms and understood that she would be bound by the terms.

The arbitration agreement provided that its procedures would be the exclusive means of resolving certain claims, including alleged violations of wage and hour laws and other state or federal laws, relating to or arising from the employment. The agreement had a severability clause.

The plaintiff started working for the company in April 2016. It terminated her employment in January 2017. This prompted her to file a lawsuit seeking civil penalties under PAGA. She specifically alleged violations of sections 201, 202, 203, 204, 226(a), 226.7, 510, 512, 1174(d), 1194, 1197, 1197.1, and 1198 of the Labor Code.

The company filed a motion to compel arbitration and to put the legal proceedings on pause until the completion of the...

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