O'HARE

Introduction

This appeal involves interpretation of an arbitration provision contained in an employment contract between appellant Municipal Resource Consultants (MRC) and respondent Nicholas O’Hare (O’Hare). After MRC fired O’Hare, O’Hare filed a lawsuit. MRC moved to compel arbitration. The trial court refused to enforce the arbitration provision, finding it did not meet the criteria established by case law. MRC appeals. We find the arbitration provision is both substantively and procedurally unconscionable and therefore affirm the trial court’s decision.

Factual and Procedural Background

MRC provides financial consulting services to municipalities. In February 1991, MRC hired O’Hare pursuant to a written contract. O’Hare’s responsibilities included designing and providing revenue enhancement audits for MRC’s municipal clients. The purpose of these audits is to increase the amount of tax revenues the municipalities receive.

Two provisions of the 1991 employment contract govern our analysis on this appeal.

Section 11, entitled “MRC’s Remedies for Breach,” provides: “You acknowledge and agree (a) because your employment duties will provide you access to and/or…