Wednesday, August 10, 2022

The Cops Don't Arbitrate

People v. Maplebear, Inc., No. D079209 (D4d1 Jul. 28, 2022)

The San Diego City Attorney sued Instacart under the UCL for misclassifying its Shoppers as independent contractors. Almost all of the Shoppers are parties to a form a agreement that contains an arbitration clause. Instacart claims it can enforce that obligation against the People. That does not make any sense. The People never agreed to arbitrate with Instacart. The fact that the People’s UCL claim is premised on violations of the Shoppers’ rights under state employment law does not make the People the Shoppers’ agent or bind them to the Shoppers’ obligations to arbitrate. Indeed, Iskanian and all of the other PAGA cases make this pretty clear.

Affirmed.

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That's Not a Debate

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