Arkansas Putting It All Together - Arbitration Provisions

State:
Multi-State
Control #:
US-ND0809
Format:
Word; 
PDF
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Description

This form brings together several boilerplate contract clauses that work together to outline the procedures for arbitration of any disputes and to establish the laws and legal jurisdiction that will govern such arbitration should it become necessary.


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FAQ

If the contract doesn't provide a way to opt out of the arbitration agreement, then tell the other party you don't want to agree to the arbitration clause. Ask them if they will allow you to sign the contract without the arbitration clause.

One possible solution lies in the definition of ?unconscionable agreements.? Under the Federal Arbitration Act, one of the few ways to void an arbitration agreement is to prove that the agreement is ?unconscionable? under the standard rules applying to contract formation.

Arbitration clauses are frequently paired with class action waivers, which prevent contracting parties to file class action lawsuits against each other. In the United States, arbitration clauses also often include a provision which requires parties to waive their rights to a jury trial.

In addition, the infringement of other rules of contract law may also constitute a ground for the annulment of an arbitration agreement, such as in cases involving fraud, 20 illegality, 21 or lack of capacity, 22 among others.

Under the internationally renowned doctrine of separability, an arbitration clause within a contract is treated as a separate agreement for the purposes of determining the validity of that contract.

The primary legal argument used to avoid arbitration is an argument that the agreement is ?unconscionable,? a legal term used to invalidate an agreement that is not negotiated by the parties, and, in the eyes of the employee and several courts, unfair.

An arbitration provision is unenforceable if the contract violates public policy or precludes a party from recovering in arbitration what would be otherwise available in civil court. In Shotts v. OP Winter Haven, Inc., 86 So.

A party is deceived, intimidated, or coerced during the execution of the arbitration agreement and requests a declaration that such arbitration agreement is invalid; and. The arbitration agreement violates prohibitions specified by the law.

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Arkansas Putting It All Together - Arbitration Provisions