District of Columbia Arbitration Submission Agreement
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FAQ
An arbitration clause is a clause in a contract that requires the parties to resolve their disputes through an arbitration process.
In the submission agreement, the parties agree to submit only a specific dispute to arbitration. They can do so at the time the dispute arises, while the parties are engaged in negotiations for a resolution, or even if the dispute is already being actively litigated in court.
Arbitration can be binding (which means the participants must follow the arbitrator's decision and courts will enforce it) or nonbinding (meaning either party is free to reject the arbitrator's decision and take the dispute to court, as if the arbitration had never taken place). Binding arbitration is more common.
A Submission Agreement is a post-dispute agreement to resolve an existing dispute through arbitration.
A submission agreement provides for the referral of disputes for resolution by arbitration. A submission agreement maybe used in circumstances where the parties have not previously included a dispute resolution clause in their contract and/or it may be used to supersede and replace prior dispute resolution agreements.
What is binding arbitration? Binding arbitration involves the submission of a dispute to a neutral party who hears the case and makes a decision. Arbitration takes the place of a trial before a judge or jury.
In California, employers cannot require employees to agree to arbitration agreements as a condition of employment, but employees may voluntarily agree to do so.
We noted that arbitration clauses are made before any dispute arises. Submission agreements, however, are agreements to arbitrate made after the dispute has arisen.
