Case Updates
California Supreme Court holds that Federal Arbitration Act does not preempt California statute’s one-sided sanctions on drafting parties that fail to pay arbitration fees within 30 days but clarified that the statute must be interpreted in harmony with general contract-law principles so as not to disfavor arbitration in violation of the FAA
August 11, 2025
The court accordingly rejected a rigid, inflexible reading of the statute that would automatically strip a drafting party of arbitration rights for any late payment, regardless of the reason, disapproving several lower-court decisions that had adopted a strict, no-exceptions rule.
U.S. Chamber files coalition amicus brief urging California Supreme Court to hold that the Federal Arbitration Act preempts California SB 707, which disfavors arbitration agreements by imposing punitive sanctions on their drafters for failing to pay arbitration fees within 30 days, for any reason
February 10, 2025
U.S. Chamber Coalition Amicus Brief
Andrew J. Pincus, Archis A. Parasharami, and Daniel E. Jones of Mayer Brown LLP served as outside counsel.
Case Documents
- U.S. Chamber Coalition Amicus Brief -- Hohenshelt v. Superior Court of Los Angeles County (California Supreme Court)
- Opinion -- Hohenshelt v. Superior Court of Los Angeles County (California Supreme Court)