Leeper v. Shipt, Inc.

(Pending) Cal. S.Ct., S289305

Can a plaintiff abandon their individual claims after arbitration and still pursue PAGA on behalf of others? The Supreme Court took this case on its own motion. The answer will reshape every arbitration strategy.

Holding

Pending. The Second District held that PAGA's statutory language requires plaintiffs to pursue both individual and representative claims — headless actions are prohibited. The Fifth and Fourth Districts disagreed. The California Supreme Court granted review on its own motion on April 16, 2025.

Impact on Defense Practice

Will resolve whether Viking River's arbitration framework can be circumvented through strategic claim abandonment. Briefing nearing completion. Decision expected mid-to-late 2026. The most significant pending PAGA case.

Defense Strategy

Preserve all arguments pending resolution. Continue filing motions to compel arbitration in headless PAGA cases. Most defense commentators are cautiously optimistic. Prepare dual-track strategy for either outcome — if affirmed, headless PAGA dies and arbitration is strengthened; if reversed, pivot to early evaluation conferences, cure, and penalty cap positioning.

This analysis is for informational purposes only. Case law is current as of Q1 2026.