Attorneys often recommend arbitration clauses in contracts as a means to resolve disputes arising out of the contract. It is often recommended as a less expensive, private, and less tedious alternative to litigation. However, there is no one size fits all arbitration clause, and if not drafted properly, they can cause more harm than good. Here are some points to review before you sign away your organization’s litigation rights:
These issues just touch on the basics and the answer depends on the client, the opponent, and their industries. A thorough evaluation of the drafted language should be reviewed prior to executing an agreement or you may have to deal with unintended consequences later. For more on this issue, contact the attorneys at Dalton & Tomich, PLC.
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