New CA Supreme Court Arbitration Case

arbitration agreements Mar 06, 2026

New California Supreme Court Arbitration Case

Is an Arbitration Agreement Enforceable When There Is Procedural Unconscionability (including tiny, blurry print and rushed presentation) and a Low-to-Moderate Degree of Substantive Unconscionability (including a one-sided carveout tied to later confidentiality agreements)? 


The California Supreme Court addressed this issue last month. Below is my one-paragraph case summary from my online publication California Case Summaries™: 

Fuentes v. Empire Nissan (2026) _ Cal.5th _ , 2026 WL 265574: The California Supreme Court reversed the Court of Appeal’s decision, which had reversed the trial court’s order denying defendant’s motion to compel arbitration in an employment case. The trial court denied defendant’s motion to compel arbitration, finding the employment arbitration agreement was unconscionable based on a very high degree of procedural unconscionability (including the agreement’s tiny, blurry print and rushed presentation) and a low-to-...

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