Topics: Arbitration Agreements, Legal Information
By: Renate B. Fessler
The American Arbitration Association (“AAA”) recently updated its “Employment/Workplace Arbitration Rules and Mediation Procedures” (formerly entitled the “Employment Arbitration Rules”), effective May 1, 2025. The updates to the rules will significantly impact how AAA employment arbitration proceedings are conducted.
The AAA published this news on their website and summarized the changes. The new rules follow the AAA opening up public comments to these rules to “incorporate input from stakeholders across industries and reflect the AAA’s ongoing commitment to fairness, transparency, and efficiency.” According to President and CEO of the AAA Bridget McCormack, the updates “reflect [AAA’s] ongoing commitment to maintaining the highest standards in ADR practice.” These updates are not merely procedural; there are substantive changes with many practical considerations to keep in mind when arbitrating a dispute before the AAA.
Below are key aspects of the updated rules:
- Arbitration now covers more than just bona fide employees
As shown by the new title (Employment/Workplace Arbitration Rules and Mediation Procedures), the AAA has broadened the scope of the rules to include application to “any dispute between an independent contractor and a business or organization when the dispute involves work or work-related claims under independent contractor agreements, including any statutory claims.” This practical...
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