Civil Procedure Outline- Arbitration
- Arbitration was envisioned as a method for resolving disputes more quickly and with less expense than a typical trial.
- In 1925, Congress enacted the Federal Arbitration Act (FAA) which stated that arbitration agreements are valid and enforceable unless there is a reason for the revocation of the contract.
- Arbitration agreements are favored and are valid to enforce adjudicate statutory claims. The party wishing to get out of it must make a really good argument.
- Just because an arbitration agreement does not mention the costs of arbitration does not allow a party to get out of it. (Green Tree)
- Arbitration is even allowed to adjudicate important legal claims like antitrust suits. (Mitsubishi)
- Arbitration is valid for employment discrimination suits; FAA applies in state court as well, preempts anti-arbitration state laws. (Circuit City)
- The FAA even preempts state laws that create special requirements about notice of arbitration agreements in contracts. (Doctor's Associates)