Olinick v. BMG Entertainment

In Olinick v. BMG Entertainment (2006) 138 Cal.App.4th 1286, a corporate executive and his attorney negotiated an employment contract with his employer that included a forum selection clause. The executive later sought to avoid the clause when his employment was terminated and he sued for unlawful discrimination under the California Fair Employment and Housing Act (Gov. Code, 12900 et seq.; FEHA). (Olinick, supra, 138 Cal.App.4th at pp. 1290-1292.) The Court of Appeal upheld the trial court's decision to enforce the forum selection clause because the court found the designated forum provided the executive an adequate remedy for his discrimination claims, and therefore the forum selection clause was not contrary to California's public policy. (Id. at pp. 1301-1304.) In reaching this conclusion, the Olinick court emphasized the FEHA lacked an antiwaiver provision, but then paradoxically noted case law has recognized an employee's FEHA rights are unwaivable. (Olinick, at pp. 1304-1305.)