Ninth Circuit Court of Appeals Affirms Dismissal of Sarbanes-Oxley Claims Based on Arbitrator's Ruling on Other Underlying Claims.

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On 12/10/24, the Ninth Circuit Court of Appeals issued its opinion in Hansen v. Musk, affirming the district court's dismissal of a complaint alleging whistleblower claims under the Sarbanes Oxley Act (SOX), holding that although SOX claims are not subject to mandatory prelitigation arbitration agreements, a confirmed arbitral award can preclude relitigation of the issues underlying a SOX claim - here, the arbitration award precluded a SOX claim since it conclusively resolved Hansen's other arbitrable claims:

https://cdn.ca9.uscourts.gov/datastore/opinions/2024/12/10/23-15296.pdf

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