In the wake of the U.S. Supreme Court’s recent ruling on the enforceability of mandatory arbitration agreements in Concepcion v. AT&T Mobility, 09-893, employment defense lawyers have opined that the decision could impact not just consumer class actions like the one facing AT&T, but also employment cases. Some labor and employment lawyers advised their clients that including arbitration clauses in employee contracts could help them avoid class actions altogether.

But last week, Southern District Magistrate Judge James C. Francis IV ruled that a former Goldman Sachs managing director could continue as one of three named plaintiffs in a high-profile proposed gender bias class action against the investment bank, finding that the high court’s decision did not bar the plaintiff’s claims. Goldman Sachs’s lawyers at Sullivan & Cromwell and Paul, Hastings, Janofsky & Walker had cited Concepcion in hopes of compelling arbitration with plaintiff Lisa Parisi, but Magistrate Judge Francis refused to reconsider a previous ruling allowing her to remain in the case.

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