Carey v. 24 Hour Fitness, USA, Inc.

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• holding that an arbitration agreement contained in an employee handbook was illusory because it could be changed and thus retroactively impact claims in progress
• holding an employment contract’s arbitration clause was illusory under Texas law where another provision of the contract allowed the employer to unilaterally modify all provisions of the agreement and did not contain a savings clause
• noting that in ruling on a motion to compel arbitration, the court considers first whether there is a valid agreement to arbitrate and second whether the dispute in question falls within the scope of that arbitration agreement
• finding arbitration agreement illusory because employer could unilaterally modify or terminate provision at any time
• finding arbitration agreement illusory because employer could unilaterally modify or terminate provision at any time
• finding arbitration clause illusory where “[i]n effect, the agreement allows [the employer] to hold its employees to the promise to arbitrate while reserving its own escape hatch”

Source: CourtListener parenthetical corpus (CC0).