In a published opinion, the Ninth Circuit Court of Appeals added Section 1981 racial discrimination claims to the list of claims subject to compulsory arbitration.

DeWitt Lambert was an African American production associate employed by Tesla.  He claimed that other employees consistently harassed him due to his race, and that Tesla discriminated and retaliated against him and refused to promote him because of his race.  Lambert sued Tesla alleging race discrimination in violation of 42 U.S.C. § 1981 (“Section 1981”).  Tesla asked the district court to compel arbitration because Lambert’s employment contract included an arbitration provision.  Lambert argued that Section 1981 claims are not subject to arbitration.

Noting that the Ninth Circuit had not yet addressed the arbitrability of Section 1981 claims, the Court reviewed prior cases that decided similar issues.  Relying on a case holding that Title VII claims are subject to arbitration, the Court held that Section 1981 claims should also be subject to arbitration.