On August 13, 2012, another California Court of Appeal recognized that Gentry v. Superior Court, 42 Cal.4th 443 (2007) has been “discredited” by the U.S. Supreme Court’s expansive landmark decision in AT&T Mobility, Inc. v. Concepcion, 131 S. Ct. 1740 (2011) holding the Federal Arbitration Act preempts state laws refusing to enforce arbitration agreements with class action waivers. See Truly Nolen of America v. Superior Court, D060519, 2012 Cal. App. LEXIS 871 (2012). Gentry, a pre-Concepcion opinion, established a rule effectively invalidating most class action waivers contained in arbitration provisions based on certain state statutory rights. The Truly Nolen decision expressly joined the emerging “majority view” in recognizing that the FAA preempts Gentry, “Based on Concepcion’s expansive language and its clear mandate that arbitration agreements must be enforced according to their terms despite a state’s policy reasons to the contrary.”
Continue Reading Another California Court of Appeal Rules That Concepcion Discredits Gentry’s Rule Invalidating Most Class Action Waivers In Arbitration Provisions