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Contents of arbitration clauses require careful consideration

On Behalf of Warren Gammill & Associates, P.L. | Jun 26, 2015 | Contract Disputes

Companies can rarely survive in a vacuum. In order to conduct business, it is often necessary for a company to form contractual agreements with other parties. The services provided by these other parties can prove absolutely vital. But in order to avoid disputes, it is very important to give all terms contained in a contract careful consideration before signing.

The intent of a contract is to ensure that all parties involved deliver on their promises. This is why, when parties agree to terms, both sides must be prepared to live up to their ends of the bargain. To do otherwise would likely be considered a breach of contract. Unfortunately, sometimes circumstances change after a contract is signed and one party may not follow through with the agreed upon terms.

Typically, contracts contain what are called “arbitration clauses.” These clauses call for disputes to be settled through a process of arbitration, rather than by the courts. When you are writing an arbitration clause, there are several very important aspects that need consideration. By including specific requirements in the clause, you can better ensure that you will have a measure of control should you have to go into arbitration.

In a perfect world, contractual obligations would always be satisfied and there would be no need to have contingencies for arbitration. But when disputes do arise, you don’t want to be at a disadvantage when seeking a resolution. If you are in a contract dispute, a Florida contract litigation attorney could help you go over the agreement’s details and may be able to offer you strong representation while seeking an equitable outcome.

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