A win for FedEx ground ?

Discussion in 'FedEx Discussions' started by BigUnionGuy, Jan 16, 2019.

  1. BigUnionGuy

    BigUnionGuy Got the T-Shirt

  2. vantexan

    vantexan Well-Known Member

  3. Operational needs

    Operational needs Virescit Vulnere Virtus

    Bravo to the Supreme Court.
     
  4. bacha29

    bacha29 Well-Known Member

    Under the terms of a contractor/FXG operating contract any disputes were contractually required to go to arbitration. Problem was XG reserved the exclusive right to decide unilaterally who sits on the arbitration board. Good luck winning with that.

    Now the SCOTUS ruling simply overturns the mandatory arbitration requirement but here's the problem.....Despite the fact that XG contractors had a .000001% chance of winning in arbitration it was up and till now the only means of settling disputes. With mandatory arbitration now overturned the question will now be...what do you replace it with?

    At least for the time being Ground is in an even stronger position when it comes to how they deal with contractors because now no dispute resolution mechanism of any kind exists . So the ruling in and of itself doesn't mean much unless it sets off an avalanche of new wage and hour class actions

    Could it cost New Prime a bunch of money? Perhaps. Depends on what happens going forward. Does it mean the end of Ground's contractor model? It's going to take a lot more than this to invalidate the existing contract and with the recently settled class actions which required contractors to forfeit the right to any future claims it might be difficult to find a law firm with the balls to take on Fat Freddy who has made it clear that with the expected margin pressures at Express Ground is going to be called on to do even more. He has plenty of money and would be more than willing to spend the next 2 decades fighting any legal challenges to Ground's ISP/CSP model......But, what impact could it have on Bezos little contractor scam?

    Has SCOTUS suddenly shifted away from it's pro business sentiments here? LOL. All it did was uphold a lower court's ruling regarding a small component of the independent contractor model.What New Prime was doing to Olveira was so outrageous that it would appear that SCOTUS has actually hoping that the plaintiffs would somehow find some kind of legal basis no matter how bizarre that would allow SCOTUS to uphold the lower court ruling.
     
  5. Oldfart

    Oldfart Well-Known Member

    WOW
     
  6. dmac1

    dmac1 Active Member

    Here's a ruling from 2007 in a state court overturning the arbitration clause

    https://khrmediation.com/wp-content/uploads/2018/07/McHenry-V.-FedEx.pdf

    It also happened before that ruling, and again since that ruling. I thought fedex might have fixed it in the years since. Does anyone have a copy of the current arbitration clause they could post for comparison????
     
  7. JetDoc812

    JetDoc812 New Member

    Isn’t this bad news for amazons new startup ? Or could be ?
     
    Last edited: Jan 18, 2019