Another Class Action Waiver Falls

by Brian Wolfman

The First Circuit today struck down a class action waiver contained in an arbitration agreement as unconscionable under Massachusetts law. In Skirchak v. Dynamics Research Corp, Nos. 06-2136, 06-2180 (Nov. 19, 2007), the court found the class action waiver unconscionable on the particular circumstances of the case -- which involved wage and hour claims.  Although the court noted academic commentary arguing that class action waivers are always unconscionable in small-claims cases, the court declined to rule on that larger question.  Worth a look.