Supreme Court’s Decision in Flowers Foods, Inc. v. Brock Unanimously Holds that Intrastate Transportation Workers Qualify for Federal Arbitration Act Exemption

Short summary

Supreme Court ruled unanimously that intrastate transportation workers qualify for FAA Section 1 exemption from forced arbitration even without crossing state lines. Last-mile delivery drivers and similar logistics workers can now challenge wage claims in court rather than individual arbitration. Employers must review arbitration clauses in distribution and transportation worker agreements.

• •Flowers Foods v. Brock expands FAA exemption to workers on intrastate legs of interstate routes
• •Last-mile drivers no longer required to arbitrate wage claims individually in many cases
• •Employers must audit arbitration agreements with transportation and distribution workers

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