An arbitration clause is a clause in a contract that requires the parties to resolve their disputes through an arbitration process.

What should be in an arbitration clause?

In most arbitration clauses, the parties agree not to sue each other. Instead, they will resolve their disputes through the arbitration process to avoid litigation. ... A binding arbitration clause means that the arbitrator's decision on a specific dispute will be final.

What is a arbitration clause agreement?

It is defined as an agreement to submit present or future disputes between the parties to a dispute to appoint a particular arbitrator to resolve their disputes arising out of a particular business relationship.