I have just been teaching Armendariz v. Foundation Health Psychcare
Services, 6 P.3d 669, which holds that an employment arbitration
contract is unconscionable and unenforceable, in part because damages
were limited to back pay from date of discharge until date of any
arbitration award. This confirms Murray's statement. The court mentions
specifically that the contract precluded other forms of relief, such as
punitive damages.
Lucy
-----Original Message-----
From: Academy of Legal Studies in Business (ALSB) Talk
[mailto:[log in to unmask]] On Behalf Of Levin, Murray S
Sent: Friday, November 30, 2007 1:44 PM
To: [log in to unmask]
Subject: Re: Question re: arbitration and punitive damage awards
I have awarded punitive damages, and my awards have stood up.
Much of what has been written on the subject comes out of the state of
New York. And for many years New York courts held that arbitrators were
prohibited from awarding punitive damages. (I'm not sure of the present
status of the matter in New York.)
The AAA rules allow for remedies as are available at law and equity.
In most jurisdictions, the battle today probably has more to do with the
enforceability of arbitration agreements that expressly prohibit
arbitration. While I don't have any cites for you, I'm sure there are
articles out there (typically advocating that these provisions not be
enforced and highlighting supportive appellate decisions).
Murray S. Levin
Professor of Business Law
University of Kansas
School of Business
350 F. Summerfield Hall
1300 Sunnyside Ave.
Lawrence, KS 66045-7585
785-864-7506 (Lawrence)
913-262-2688 (Kansas City)
785-864-5328 (Fax)
[log in to unmask]
________________________________
From: Academy of Legal Studies in Business (ALSB) Talk on behalf of
Richard L. Coffinberger
Sent: Fri 11/30/2007 12:24 PM
To: [log in to unmask]
Subject: Question re: arbitration and punitive damage awards
Colleagues: I have searched for information on whether an arbitrator can
award punitive damages to no avail. I would appreciate some guidance
and/or citations.
Thanks,
Rick
[log in to unmask]
----- Original Message -----
From: Robert Bird <[log in to unmask]>
Date: Thursday, November 29, 2007 10:46 pm
Subject: Re: http://lawprofessors.typepad.com/laborprof_blog/
> An article of mine has actually been read, hooray!
>
> Thanks Marsha for the link.
>
> Robert
>
> Robert C. Bird
> Assistant Professor
> University of Connecticut
> email: [log in to unmask] <mailto:[log in to unmask]> View my
> research on my SSRN Author page:
> http://ssrn.com/author=56987 <http://ssrn.com/author=56987>
>
> ________________________________
>
> From: Academy of Legal Studies in Business (ALSB) Talk on behalf of
> Marsha Hass
> Sent: Thu 11/29/2007 8:13 PM
> To: [log in to unmask]
> Subject: http://lawprofessors.typepad.com/laborprof_blog/
>
>
>
> Bird on the Duty of Good Faith in the Employment Context
>
>
>
>
<http://lawprofessors.typepad.com/.shared/image.html?/photos/uncategoriz
ed/2007/11/29/rbird.jpg> Robert C. Bird <mailto:[log in to unmask]>
(U. Conn. - Marketing) has just posted on SSRN his article (forthcoming
Pace L. Rev.) An Employment Contract 'Instinct With an Obligation': Good
Faith Costs and Contexts
<http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1033041> . Here's
an excerpt from the abstract:
>
> This article arises from a symposium sponsored by Pace
> University School of Law celebrating the ninetieth anniversary of the
> famous decision of Wood v. Lucy, Lady Duff-Gordon ....
>
> Three challenges exist to the orderly development of the good
> faith doctrine in employment law. First, the meaning of good faith
> remains far from certain. Courts have intermingled good faith with
> other employment doctrines thereby hindering its widespread
> acceptance. Second, the good faith covenant in employment lacks
> mutuality. Usually bilateral in the contractual context, the covenant
> remains an obligation that usually runs only from the employer to the
> employee. The questions of whether the covenant should obligate
> employees and what the consequences of such an obligation could be
> remain unaddressed. Finally, and perhaps most interestingly, there is
> a limited understanding of the costs of the good faith duty. The
> emerging empirical work studying the effects of wrongful discharge
> law, of which the duty of good faith is a part, reveals potential
> economic costs of this important doctrine articulated by Judge Cardozo
> ninety years ago.
>
> Yes, indeed -- good faith in the employment context is clear as mud.
> Good work, Robert!
>
> rb
>
> November 29, 2007 in Scholarship
> <http://lawprofessors.typepad.com/laborprof_blog/scholarship/index.htm
> l> | Permalink
> <http://lawprofessors.typepad.com/laborprof_blog/2007/11/bird-on-the-d
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> ut.html#comments> | TrackBack (0)
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