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Article

18 May 2011

Author:
Sheri Qualters, National Law Journal [USA]

CIGNA affiliate moves to compel arbitration of employee's gender bias claim - Company cites Supreme Court's recent ruling in AT&T case [USA]

A CIGNA Healthcare Inc. affiliate has filed a motion to dismiss and compel arbitration of an employee's federal lawsuit alleging systemic gender discrimination. Connecticut General Life Insurance Co. filed the motion on May 16...Karp's complaint alleges that CIGNA's discriminatory evaluation and promotion practices violated Title VII of the Civil Rights Act of 1964 and Massachusetts state law. She is seeking more than $100 million in damages...Connecticut General Life also claims that precedent set by the Federal Arbitration Act and U.S. Supreme Court, particularly last month's ruling in AT&T Mobility v. Concepcion, "mandate that arbitration agreements be enforced according to their terms." The 5-4 ruling in AT&T Mobility held that the Federal Arbitration Act takes precedence over a California rule that deems a class action waiver provision in cellphone arbitration agreements "unconscionable." The divided ruling is widely viewed as weakening class action cases.