California Court Rulings Favor Rideshare Companies' Independent Contractor Model

The 9th Circuit Court of Appeals has affirmed a federal district court judge's decision to strike down California's AB 51, which prohibited employers from requiring employees to waive any right, forum, or procedure for a violation of any provision of the California Fair Employment and Housing Act or other specific statutes governing employment as a condition of employment, continued employment, or the receipt of any employment-related benefit. The court ruled that AB 51 was preempted by the Federal Arbitration Act, which embodies a "national policy favoring arbitration."