Fatemeh Johnmohammadi v. Bloomingdale's, Inc.

This is a class action brought by plaintiff Fatemeh Johnmohammadi to recover unpaid overtime wages from defendant Bloomingdale’s, Inc., her former employer. All of Johnmohammadi’s claims arise under state law and are asserted on behalf of similarly situated current and former California employees. Johnmohammadi initially filed the action in state court, but Bloomingdale’s removed the action to federal court under the Class Action Fairness Act of 2005. See 28 U.S.C. §§ 1332 (d)(2), 1453(b).

Once in federal court, Bloomingdale’s moved to compel arbitration under the Federal Arbitration Act (FAA), 9 U.S.C. § 1 et seq., and asked the district court to stay the action pending completion of arbitration. The court granted the motion to compel. It determined that shortly after being hired by Bloomingdale’s, Johnmo-hammadi entered into a valid, written arbitration agreement and that all of her claims fall within the scope of that agreement.

In these circumstances § 3 of the FAA, 9 U.S.C. § 3 , seems to direct that the action “shall” be stayed pending completion of arbitration, as two other circuits have held. Lloyd v. HOVENSA, LLC, 369 F.3d 263, 268-69 (3d Cir.2004); Adair Bus…