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a new California law goes into effect on January 1st 2020 it will have docHub impact on California businesses this new law is a b51 and it will add sections to the labor code and the government code if you advise employers in California make sure you watch this video all the way to the end and dont forget to subscribe a b51 says its purpose is to ensure that employment contracts are entered into as a matter of voluntary consent and not coercion employers previously were allowed to force new hires to agree to arbitrate employment disputes starting on January 1st 2020 employers and employees are still allowed to agree to arbitration but agreeing to arbitration can no longer be a condition of employment a couple important points though first it only applies to employment contracts entered into modified or extended on or after January 1st 2020 so it doesnt affect contracts that are already in in existence second of course any violation would allow for a lawsuit against the employer