Plaintiff Rivera
worked for Rent a Center. He sued his supervisor, Owens, for race
discrimination. Owens presented an arbitration agreement between Rivera and
Rent a Center and asked the court to dismiss or stay the case pending
arbitration. The agreement provided arbitration of legal claims against
not only Rent a Center but also against its employees. Rivera insisted that the
agreement was between him and Rent a Center only.
The
Cuyahoga County Court of Appeals reversed the trial court's decision denying
Owen's Owens' motion. The reason? Pretty simple: Owens was a third-party
beneficiary of the agreement. In short, basic agency and contract principles
apply to arbitration agreements, including ones between employer and employee.
Rivera v. Rent A Center, Inc., 2015-Ohio-3765 (8th Dist., Sept, 17,
2015).
