In the aftermath of Ramirez, companies stand to benefit from reexamining their existing arbitration agreements subject to California law. Good News for Employers: California Enforces Arbitration Agreement In Favor of NonSignatory Related Entities.Judicial arbitration is a binding or non-binding process where an arbitrator applies the law to the facts of the case and issues an award. The California Supreme Court on Monday affirmed that employers can't seek attorneys' fees for forcing an employee to arbitrate their claims. California Supreme Court delivers major blow to use of arbitration agreements to manage PAGA risks. United States Supreme Court Unifies Circuits and Holds That Courts May Not Dismiss Cases Ordered to Arbitration. The decision allows employees to arbitrate their claim without losing standing to file a claim in state court on behalf of others. Research shows that many appellate and trial courts hearing PAGA cases are staying court proceedings until the conclusion of individual arbitrations. California courts have, for decades, applied a framework grounded in a "strong policy favoring arbitration" over litigation. Display the text of arbitration agreements in a regular size font.