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Articles > Requiring an employee to arbitrate disputes isn’t easy

Requiring an employee to arbitrate disputes isn’t easy

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This article originally appeared in the September 19-20, 2006 edition of Boca Raton News, www.bocanews.com. Reprinted with permission.

Every business, no matter its size, potentially faces the unhappy prospect of a lawsuit from a disgruntled, usually former, employee. Given the prevalence of employment litigation, many employers find it beneficial to explore means to potentially limit their exposure to damages and litigation costs.

Mandatory arbitration, a longstanding staple of securities industry agreements, is becoming a popular feature of agreements used by other types of businesses as well. But requiring an employee to arbitrate employment disputes is often easier said than done. In their weekly Boca Raton News column, Hodgson Russ partners Larry Corman and Glenn Rissman discuss the issues courts will examine to determine whether arbitration is an option.

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