Over the years I have seen dozens of contracts with dreadful arbitration clauses.
They are generally found near the end of the agreement, with the other so-called “boilerplate”. One often wonders whether the lawyers even read them before the contract was signed. Almost certainly, the business people didn’t. One consequence of this neglect is that, if and when the clause must be dusted off and used in a dispute, it may not work as intended. And unworkable arbitration clauses tend to give the process as a whole a bad name.
There are 7 essential elements of an effective arbitration clause. . . . [more]