CHAMBER OF COMMERCE OF THE UNITED STATES OF AMERICA; CALIFORNIA CHAMBER OF COMMERCE; NATIONAL RETAIL FEDERATION; CALIFORNIA RETAILERS ASSOCIATION; NATIONAL ASSOCIATION OF SECURITY COMPANIES; HOME CARE ASSOCIATION OF AMERICA; CALIFORNIA ASSOCIATION FOR HEALTH SERVICES AT HOME, Plaintiffs-Appellees, v. ROB BONTA*Link to the text of the note, in his official capacity as the Attorney General of the State of California; LILIA GARCIA-BROWER, in her official capacity as the Labor Commissioner of the State of California; JULIE A. SU, in her official capacity as the Secretary of the California Labor and Workforce Development Agency; KEVIN RICHARD KISH, in his official capacity as Director of the California Department of Fair Employment and Housing of the State of California, Defendants-Appellants., 13 F.4th 766


Summary

HOLDINGS: [1]-The district court erred in finding that plaintiffs were likely to succeed on the merits of their claim that Cal. Lab. Code § 432.6 was preempted by § 2 of the Federal Arbitration Act (FAA), 9 U.S.C.S. § 2, because § 432.6 neither conflicted with the language of § 2 nor created a contract defense by which executed arbitration agreements might be invalidated or not enforced, nor did it stand as an obstacle to the purposes and objectives of the FAA; [2]-The civil and criminal sanctions attached to a violation of § 432.6, Cal. Gov't Code § 12953 and Cal. Lab. Code 433, were preempted by the FAA because they stood as an obstacle to the liberal federal policy favoring arbitration agreements.