Arbitration Clause

It mandates that disputes be resolved through arbitration, bypassing the court system.

Contracts often include this clause to streamline dispute resolution.

Arbitration involves a neutral third party, known as an arbitrator, who reviews evidence and makes a binding decision.

Examples of contracts with arbitration clauses include employment agreements, consumer contracts, and commercial leases.

Arbitration can be faster and less costly than litigation.

Parties typically agree to arbitration rules, such as those set by the American Arbitration Association or the International Chamber of Commerce.

Arbitration decisions are usually final and enforceable in courts.