Louisiana Bill Banning Forced Arbitration in Workplace Harassment Claims Fails

March 28, 2018

Louisiana lawmakers have jettisoned a measure that would have banned employers from requiring their workers to sign contracts that keep them from filing sexual harassment lawsuits in civil court.

The House voted 50-42 against House Bill 578, with most Republicans in the majority-GOP chamber objecting to the legislation. It needed 53 votes to pass.

Supporters of the measure by Rep. Robert Johnson, a Marksville Democrat, said contracts that force sexual harassment victims to pursue claims in closed-door arbitration proceedings give too much protection to perpetrators. Johnson said they discourage people from coming forward to report inappropriate conduct.

“It’s part of lifting the veil of secrecy,” he said of his bill.

Opponents said the proposal came from good intentions but would improperly meddle in the affairs of private companies. They touted arbitration as costing less and offering privacy to victims.

“I see it as an intrusion into private industry,” said Rep. Dodie Horton, a Haughton Republican.

Gov. John Bel Edwards backed Johnson’s bill and said he was “disheartened” by Monday’s vote. In a statement, the Democratic governor said lawmakers agreed to “continue the culture of silence that protects perpetrators of sexual harassment at the cost of their victims.”

“Victims should never be deprived of their day in court,” Edwards said.

Rep. Beryl Amedee, a Houma Republican, supported the measure in committee but changed her mind on the House floor. She said she opposed the bill as a restriction on businesses after talking with “some attorneys I trust.”

But Rep. Patricia Smith, a Baton Rouge Democrat, said a company should never force its employees to handle sexual harassment claims in closed-door proceedings outside of court.

“Arbitration should be voluntary and agreed upon by every party,” she said.

The measure also would have prohibited forced arbitration in cases where veterans claim they were discriminated against because of their military background.

Edwards backed Johnson’s bill in a package of anti-sexual harassment measures he’s supporting. One of the governor’s top deputies resigned in November after being accused of sexual harassment.

Attorney General Jeff Landry, a Republican, supports similar legislation proposed at the federal level, signing a letter with other states’ attorneys general in February urging passage in Congress.

Topics Legislation Claims Commercial Lines Business Insurance Louisiana

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