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In June 2016, AmSurg Corp. and Envision Healthcare Holdings, Inc. (Envision) announced they have signed a definitive merger agreement pursuant to which the companies will combine in an all-stock transaction. Upon completion of the merger, which is expected to be tax-free to the shareholders of both organizations, the combined company will be named Envision Healthcare Corporation and co-headquartered in Nashville, Tennessee and Greenwood Village, Colorado. The company's common stock is expected to trade on the New York Stock Exchange under the ticker symbol: EVHC. Bass, Berry & Sims served as lead counsel on the transaction, led by Jim Jenkins. Read more.

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Inside the FCA blogInside the FCA blog features ongoing updates related to the False Claims Act (FCA), including insight on the latest legal decisions, regulatory developments and FCA settlements. The blog provides timely updates for corporate boards, directors, compliance managers, general counsel and other parties interested in the organizational impact and legal developments stemming from issues potentially giving rise to FCA liability.

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Labor Talk Blog: Delay in Supreme Court Review of D.R. Horton Continues to Cost Employers Enforcing Arbitration Agreements


March 12, 2014

Readers of our series of posts on D.R. Horton will recall our prediction that the National Labor Relations Board (NLRB or the Board) would continue its attacks on certain arbitration agreements. As predicted, the NLRB's administrative law judges (ALJ) continue to strike down any arbitration agreements that waive class or collective action claims and allow arbitration of only individual claims. The ALJs consistently find that such agreements violate employees' Section 7 rights to engage in protected concerted activity.

Most recently, in Network Capital Funding Corp. (March 5, 2014) , another ALJ found an arbitration agreement violated Section 7 not on the agreement's language, but rather based on the employer's attempted enforcement. There, the employer argued that due to the silence in the arbitration agreement on whether or not class or collective claims were allowed, the agreement allowed for only individual, not class arbitration. On that basis, the employer opposed the former employee's attempt to pursue class relief in arbitration. The ALJ ruled, based on D.R. Horton, that since the employer took that position in the arbitration proceedings, then the agreement violated Section 7.

The employer argued to the ALJ that numerous federal circuit courts had rejected the Board's substantive reasoning in D.R. Horton. The ALJ explained that he was bound by NLRB precedent (i.e., the D.R. Horton ruling) until the U.S. Supreme Court or the Board itself said otherwise.

So, while D.R. Horton continues to languish in the appeal process, employers continue to face the costs – and the headaches – of trying to enforce arbitration agreements that provide for only individual arbitrations, or that are enforced as such. These costs and headaches continue even though virtually every circuit court to consider the issue has rejected the Board's substantive reasoning in D.R. Horton.

So, one might ask, what incentive does this current NLRB have to rush an appeal to the current U.S. Supreme Court? Not much.

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Related Post:

Supreme Court Says a Class Action Waiver in Arbitration Agreement is Enforceable

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