Quick Hits
- On August 11, 2026, the Missouri Court of Appeals for the Western District granted mandamus relief in State of Missouri ex rel. Waddell v. Atkins and ordered a trial court to vacate an order compelling arbitration.
- The court held that a case relates to a sexual misconduct dispute when the asserted causes of action arise from alleged sexual assault or harassment, and that the EFAA invalidates a predispute arbitration agreement for the entire action, rather than only claims directly involving sexual misconduct.
- The decision is one of Missouri’s first state appellate rulings to directly apply the EFAA.
Background
Alan Waddell worked as a housekeeper at a Missouri nursing home and rehabilitation facility. He alleged that his supervisor sexually assaulted and harassed him on multiple occasions. After Waddell reported the abuse, he alleged his employer terminated his employment in April 2023, citing failure to report for shifts. Waddell further alleged the employer later rehired him at a different facility, promising he would not have to interact with his former supervisor. As part of the rehiring process, Waddell signed a mutual arbitration agreement. Waddell resigned in July 2023, after the employer allegedly directed him to attend an event at which his former supervisor would be present.
In April 2025, Waddell sued, asserting claims for defamation, tortious interference, wrongful discharge in violation of public policy, and other violations, but no standalone sexual assault or harassment claims. The defendants moved to compel arbitration under the agreement Waddell signed at rehiring. The trial court granted the motion, and Waddell sought mandamus relief from the Court of Appeals.
The Court of Appeals’ Analysis
The court’s analysis addressed two components of the EFAA: (1) whether the statute substantively applied to Waddell’s claims and (2) whether the arbitration agreement was a “predispute” agreement under the EFAA.
EFAA Applicability
The defendants argued the EFAA did not apply because Waddell did not plead a standalone sexual assault or harassment cause of action. The court rejected this argument, drawing a critical distinction between a “claim” and a “dispute.” The court pointed out that the EFAA refers to a “case” that “relates to” a sexual assault or harassment “dispute,” but it does not require the plaintiff to bring a direct claim for sexual misconduct. Because Waddell’s petition alleged underlying conduct involving sexual assault and harassment, and his causes of action all arose from that conduct, the court found the statutory standard was met, citing federal authority to support its conclusion.
The court further held that the EFAA invalidates predispute arbitration agreements as to the plaintiff’s entire “case,” not just the individual claims directly involving sexual misconduct.
Disputes Arising Under the EFAA
The defendants’ most significant argument was that the arbitration agreement was a post-dispute agreement and therefore outside the EFAA’s reach because Waddell signed it after the alleged misconduct occurred and after he reported the abuse. The court disagreed.
At the time Waddell signed the arbitration agreement during his rehiring, the parties were not adverse. The employer had offered reemployment, and Waddell had accepted. The court, however, concluded the “dispute” did not arise until the employer allegedly reneged on its commitment to keep Waddell away from his former supervisor.
Key Takeaways
The Waddell decision is one of the first state appellate court rulings in Missouri to directly apply the EFAA and deny enforcement of a predispute arbitration agreement. Case law under the EFAA continues to develop as courts in various jurisdictions address a number of important issues regarding the statute’s application.
Ogletree Deakins’ Kansas City and St. Louis offices and Arbitration and Alternative Dispute Resolution Practice Group will continue to monitor developments and will provide updates on the Arbitration and Alternative Dispute Resolution and Missouri blogs as additional information becomes available.
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