Parisi v. Goldman Sachs

Case Updates

The Second Circuit held that held that an arbitration clause like the one at issue in this case is enforceable, and does not prevent the plaintiff from vindicating any substantive rights, because a private pattern-or-practice claim is merely a method of proof, and not a substantive right until Title VII.

NCLC urged the Court to enforce an arbitration agreement which precludes a party from bringing class action claims arising under Title VII of the Civil Rights Act. In its amicus brief, NCLC argued that the Federal Arbitration Act establishes a liberal federal policy in favor of arbitration, and that the presumption of arbitration applies both when state and federal statutory claims are at issue. Since Title VII does not provide a statutory right to private class-action proceeding, and the plaintiff’s claims can be vindicated through arbitration, the right to arbitration must be upheld. If allowed to stand, the decision below could undermine millions of existing agreements and erode the benefits offered by arbitration, as a prompt, efficient, and inexpensive alternative to litigation.