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A federal court in Arkansas rejected a challenge to an employment arbitration clause where the employee had not been "deprived of her free will" in signing the agreement.
In Humphrey v. Jim Walter Homes, Inc., No. 3:06CV00199GH (E.D.Ark. Feb. 8, 2007), Humphrey brought an age discrimination claim against her former employer. The employer moved to dismiss the claim and to stay proceedings pending arbitration. Humphrey argued that she signed the arbitration clause under duress and that arbitration is an inherently unfair process.
The Court disagreed with Humphrey and ordered arbitration of her claims. The agreement was not invalid due to undue influence because there was no evidence that Humphrey had been "deprived of her free will" in signing the agreement to arbitrate. Additionally, the Court noted that the U.S. Supreme Court flatly rejected the notion that arbitration forums are unfair in Gilmer v. Interstate/Johnson Lane Corp., 500 U.S. 20, 30-33 (1991).
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