In 2009, a hairstylist and makeup artist named Rita Ragone brought suit against her employer for sexual harassment. She worked for Atlantic Video, ESPN. Her contract stated that all sexual harassment claims would be subject to arbitration and not a court trial. In fact, Ragone was hired on the condition that she sign the contract containing the arbitration provision. The provision specifically said that her claims would be submitted to one arbitrator, and that the arbitrator's decision would be binding.
Ragone wanted to dismiss the arbitration provision. However, the court could waive the provision only if it was unconscionable. Ragone argued that three clauses were unconscionable:
Specifically, she must file the claim within 90 days instead of the usual 300 days, the losing party would pay all attorneys fees, and there was no right to a jury trial. Do you think these three clauses are unconscionable? How do you think the court decided?
Ragone v. Atlantic Video, 2010 U.S. App. LEXIS 3018 (2d Cir. Feb. 17, 2010).