Peng

Plaintiff Anna Peng sued her employer, defendant First Republic Bank, for employment discrimination, intentional infliction of emotional distress, and wrongful termination. The trial court denied defendant’s motion to compel arbitration, finding the parties’ arbitration agreement to be fatally unconscionable. The court rejected defendant’s argument that the unconscionable provisions, if any, were severable. We conclude the agreement is not unconscionable and now reverse.

FACTUAL BACKGROUND AND PROCEDURAL HISTORY

Plaintiff began working for defendant as an assistant manager in September 2005. In 2007, defendant became a wholly owned subsidiary of Merrill Lynch & Co., Inc. In January 2009, Bank of America purchased Merrill Lynch and subsequently sold defendant to private investors. Defendant emerged as an independent bank on July 1, 2010.

On March 26, 2010, defendant made a written offer to plaintiff for employment as an assistant manager with the newly chartered bank. The offer was subject to plaintiff’s agreement to be bound by a number of employment conditions and policies, including defendant’s arbitration agreement. The offer stated that it was valid for 25…