The California Supreme Court reversed a decision of the court of appeal. The court held that an arbitrator’s legal error was a proper basis for vacating an arbitration award where the error operated to deprive an employee of his right to a hearing on the merits of his claim arising under the Fair Employment and Housing Act.
Pearson Dental Supplies, Inc., hired 59-year old Luis Turcios as a maintenance worker. Two years later, Pearson and Turcios executed a preprinted dispute resolution agreement (DRA) which provided that employment-related disputes would be arbitrated. The DRA also provided that such disputes had to be submitted to arbitration within a year of their arising, or were waived.
