Can arbitration clauses be e-signed?

Yes. Under the federal ESIGN Act (15 U.S.C. §7001) and state UETA laws, arbitration agreements may be electronically signed if they meet the ESIGN/UETA validity tests: intent, consent, attribution, and record retention. Confirm any consumer disclosure requirements for consumer-facing contracts.

When might a clause be unenforceable?

Clauses may be unenforceable if they are procedurally or substantively unconscionable, lack mutual assent, or attempt to waive non-waivable statutory rights. Certain matters (wills, court orders, family law) and specific consumer protections can fall outside enforceability; consult state law for variations.

Does ESIGN/UETA support e-signatures?

Yes. ESIGN (15 U.S.C. §7001) and UETA authorize electronic signatures and records provided the transaction satisfies intent, consent, attribution, and record retention requirements. Exceptions include wills, certain court filings, and specific statutory notices where electronic execution may be excluded.

Are class action waivers enforceable?

Enforceability of class action waivers depends on statutory law, state precedent, and federal preemption under the Federal Arbitration Act. While many waivers are upheld, some consumer protection statutes or court decisions limit waiver effect in specific contexts; seek jurisdiction-specific legal advice.

Do states require notarization or witnesses?

Generally, notarization or witnesses are not required for arbitration clauses, which are contract terms rather than probate instruments. Remote Online Notarization rules vary by state; if a signature needs notarization for ancillary documents, follow state notary and RON requirements.

How long should signed copies be kept?

Retain executed arbitration agreements for the full contract term plus a recommended period: at least three years to align with IRC §6501(a) for tax records, and six years for healthcare-related agreements to comply with 45 CFR §164.530(j).

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Legal
Arbitration Contract Template

Arbitration Contract Template

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Arbitration Contract Template

This Arbitration Agreement (the "Agreement") is entered into as of by and between Party A: , a with principal address at ; and Party B: , a with principal address at .

RECITALS

WHEREAS, the parties desire to resolve disputes arising out of or relating to their contractual or commercial relationship, including tort claims, statutory claims, and contract disputes, without resort to the court system; and

WHEREAS, the parties desire that such disputes be resolved by final and binding arbitration administered in accordance with the terms set forth in this Agreement; and

WHEREAS, the parties intend that this Agreement shall govern their agreement to arbitrate and the procedures to be followed in the event of any dispute between them arising from the relationship identified above.

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

1. DEFINITIONS

For purposes of this Agreement, the following terms shall have the following meanings: "Claim" means any dispute, controversy, or claim, whether based in contract, tort, statute, regulation or equity, arising out of or relating to the parties' relationship. "Arbitrator" means the neutral decision maker(s) selected pursuant to Section 4. "Award" means any final decision, award or order rendered by the Arbitrator.

2. SCOPE OF ARBITRATION

The parties agree that any and all Claims between them shall be resolved exclusively by final and binding arbitration under this Agreement, except for (a) claims for injunctive or other equitable relief that a court of competent jurisdiction is empowered to grant where immediate relief is necessary to preserve the status quo or prevent irreparable harm; and (b) claims the parties mutually agree in writing to submit to a court. This Agreement covers both past and future disputes arising from the parties' relationship.

3. INITIATION OF ARBITRATION

A party initiating arbitration shall provide written notice of intent to arbitrate to the other party and to the designated notices address specified in Section 14. The notice shall state with reasonable particularity the nature of the Claim, the relief sought, and any material facts. Unless otherwise agreed, an arbitration demand must be filed within days of the occurrence of the event giving rise to the Claim or within the period otherwise provided by applicable statute.

4. SELECTION OF ARBITRATOR(S)

The parties shall select a single arbitrator unless they elect otherwise in writing. If the parties cannot agree on an arbitrator within days after the demand, each party shall nominate one candidate and the two nominees shall select a third arbitrator who shall act as the presiding arbitrator. If three arbitrators are appointed, the decision of the majority shall govern. Arbitrators shall be impartial, independent, and possess relevant subject-matter expertise where appropriate.

5. ARBITRATION PROCEDURES

Unless otherwise agreed in writing, the arbitration shall be conducted pursuant to the following procedures: an initial case management conference by telephone or videoconference within days of appointment of the Arbitrator; limited document production; contemporaneous exchange of witness lists and exhibits no less than days before hearing; and full opportunity to present witnesses and evidence at hearing. The Arbitrator shall have authority to determine admissibility of evidence and to apply rules of privilege and relevance.

6. LOCATION, HEARING, AND FORM OF HEARING

The seat or legal place of arbitration shall be . The hearing shall be held in unless the parties and Arbitrator agree otherwise. The parties may elect that the hearing proceed in person, by videoconference, or by teleconference. Remote hearing is: allowed.

7. INTERIM RELIEF

The Arbitrator shall have the authority to grant interim or preliminary injunctive relief, including orders for preservation of property or evidence, subject to such security or conditions as the Arbitrator may deem appropriate. Nothing in this Agreement shall be construed to limit a party's right to seek provisional relief from a court of competent jurisdiction to preserve the status quo pending appointment of the Arbitrator.

8. DISCOVERY

Discovery shall be limited to documents and electronically stored information reasonably necessary to the party's Claims or defenses and to depositions where ordered by the Arbitrator for cause shown. The Arbitrator shall have broad discretion to allocate discovery obligations, set timing, and impose sanctions for discovery abuse.

9. AWARD, FINALITY, AND JUDGMENT

The Arbitrator shall issue a written reasoned Award no later than days after the close of the hearing, unless otherwise extended in writing by the parties. The Award shall be final and binding on the parties, and judgment upon the Award may be entered in any court having jurisdiction.

10. COSTS AND ATTORNEYS' FEES

Unless otherwise provided by statute or agreed in writing, the Arbitrator may allocate the costs of arbitration, including the Arbitrator's fees and administrative costs, between the parties in the Award. Each party shall bear its own attorneys' fees and costs unless the Arbitrator determines that an award of attorneys' fees and costs is appropriate under applicable law or contract.

11. CONFIDENTIALITY

Except as required by law or to obtain or enforce an Award, the parties and Arbitrator shall maintain the confidentiality of the arbitration, including all pleadings, documents, testimony, and the Award. The parties may disclose information to their legal and financial advisors under customary confidentiality obligations. Remedies for breach of confidentiality shall include injunctive relief and damages as determined by the Arbitrator.

12. LIMITATIONS ON RELIEF

The Arbitrator shall have authority to award compensatory damages and equitable relief to the extent permitted by applicable law, but shall not award punitive damages, except to the extent such damages are permitted by applicable law and specifically requested with supporting evidence. The parties acknowledge and agree that statutory limitations and contract limitations on damages shall apply.

13. GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the substantive law of the State of , without regard to its conflict of laws principles, except where preempted by applicable federal law.

14. NOTICES

Notices to Party A Notices to Party B

Notices shall be deemed given when delivered personally, by nationally recognized overnight courier, or by certified mail, return receipt requested, to the addresses listed above, or to such other address as a party designates by notice in accordance with this Section.

15. WAIVER OF JURY TRIAL

Each party knowingly, voluntarily and intentionally waives any right to a trial by jury in any action, proceeding or counterclaim arising out of or relating to this Agreement or the relationship between the parties.

16. SEVERABILITY

If any provision of this Agreement is held to be invalid, illegal, or unenforceable, in whole or in part, such provision shall be modified to the minimum extent necessary to make it valid and enforceable, or if modification is not feasible, the invalid portion shall be severed. The remaining provisions shall remain in full force and effect.

17. ENTIRE AGREEMENT

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written, of the parties.

18. AMENDMENTS AND WAIVERS

No amendment, modification or waiver of any provision of this Agreement shall be effective unless in writing and signed by both parties. No failure or delay by either party in exercising any right shall operate as a waiver of that right.

19. COUNTERPARTS

This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument. Signatures transmitted by facsimile or electronic image shall have the same force and effect as original signatures.

20. MISCELLANEOUS

The parties agree that the Arbitrator has the authority to rule on his or her own jurisdiction, including any objections with respect to the existence, scope or validity of this Agreement. The parties further agree that any ruling by the Arbitrator on jurisdiction or arbitrability is binding and that courts shall have limited review consistent with the intent to enforce arbitration agreements.

Additional agreed provisions (optional)

Party A - Printed Name:

By:

Date:

Party B - Printed Name:

By:

Date:

What the Arbitration Contract Template Is

The Arbitration Contract Template is a standardized agreement used to require parties to resolve disputes through arbitration rather than court litigation. It sets out the scope of disputes covered, appointment process for arbitrators, rules governing hearings, location and governing law, discovery limits, and procedures for enforcing awards. This template clarifies obligations, timelines, fee allocation, and confidentiality terms so users can quickly generate a binding arbitration provision tailored to their jurisdiction and transaction. It is suitable for commercial, employment, consumer, and professional services agreements.

Why Use an Arbitration Contract Template

Using an Arbitration Contract Template reduces uncertainty by documenting dispute resolution mechanics, allocates costs, and promotes enforceability under ESIGN and UETA when signed electronically. A clear template helps minimize litigation risk, streamline enforcement of awards, and set realistic timelines.

Who Typically Uses This Template

Common users include counsel, in‑house legal teams, HR, procurement, and contracting parties drafting arbitration clauses for commercial and employment agreements.

Corporate legal departments drafting standardized dispute resolution clauses for vendor and client contracts.
Human resources and employers integrating arbitration into employment agreements and severance arrangements.
Small business owners and contractors seeking predictable, private forum for contract disputes.

Users often consult counsel for clause customization and for confirmation about enforceability under state law and industry-specific rules.

Primary Roles Involved

In-House Counsel

In-house counsel drafts and reviews arbitration templates to align dispute resolution with corporate policy, risk tolerance, and regulatory compliance. They coordinate with business stakeholders to set governing law, class action waivers, and dispute scope, and often approve final language before execution.

External Counsel

Outside attorneys provide jurisdiction-specific enforceability opinions, customize clauses for industry risks, and advise on statutory exceptions. They may draft bespoke arbitration provisions, assist with arbitrator selection guidance, and prepare filings to confirm or vacate awards.

Core Elements to Include

A professional Arbitration Contract Template organizes clauses for scope, arbitration rules, arbitrator selection, fees, discovery limits, confidentiality, governing law, and award enforcement to ensure clarity and enforceability.

Scope

Define covered disputes, excluded claims, contract types, and temporal limits. Specify whether claims arising before or after termination are included and whether statutory claims are covered to avoid later interpretation disputes.

Arbitration Rules

Specify governing rules (e.g., AAA, JAMS, or ad hoc), procedural timelines, oral hearing rights, and whether expedited procedures or institutional rules apply to provide predictable process management.

Arbitrator Selection

Describe number of arbitrators, selection method, conflict of interest disclosures, qualifications, and replacement procedures to reduce challenges and speed appointment in contested cases.

Fees & Costs

Allocate filing fees, arbitrator compensation, administrative costs, and attorney fee shifting where permitted. Include payment timing, third‑party billing arrangements, and consequences for nonpayment.

Discovery & Evidence

Set discovery scope, document requests, deposition limits, expert witness rules, admissibility standards, and timelines to balance fact-finding with efficiency and cost control.

Confidentiality & Award

Include confidentiality obligations for proceedings and documents, procedures for public filings, treatment of awards, and mechanisms for binding or limited judicial review under applicable law.

Step-by-Step: Completing and Executing the Template

Follow these steps to complete and execute an Arbitration Contract Template efficiently, whether using print, RON, or an eSignature platform.

01

Prepare Parties: Identify full legal names and representative authority before drafting.
02

Define Scope: Specify claims covered and any statutory exceptions.
03

Select Rules: Choose arbitration provider and procedural rules.
04

Sign & Execute: Obtain signatures, record dates, and retain copies.

Configure an Online Signing Workflow

Configure an online workflow to route, authenticate, and record execution of the arbitration clause within contracts.

Workflow Field and Configuration Purpose	Configuration
Signer Sequence, Roles, and Permissions	Sequential or parallel signing; define signer roles.
Authentication Strength, Methods, and Options	Email link, SMS code, KBA, or ID verification.
Document Fields and Conditional Logic	Signature, date, initials, conditional clauses, and required attachments.
Audit Trail and Storage Settings	Enable full audit log, PDF certificate, retention location and access controls.

Where the Template Moves After Drafting

Typical routing for an Arbitration Contract Template includes drafting, internal review, signature collection, and storage with evidence of execution.

Draft: Prepare clause language and insert into contract document.
Review: Legal and business review for scope and enforceability.
Sign: Collect signatures via eSign, RON, or wet ink as required.
Store: Retain signed copy and audit trail in secure records.

Digital Signing and Integration Considerations

For digital execution, ensure your eSignature platform supports audit trails, authentication methods, and secure storage compliant with ESIGN and HIPAA where applicable.

File Formats: Supports PDF and Word (DOCX) formats.
Integrations: Connects to Salesforce, Google Workspace, NetSuite.
Authentication: Email, SMS, KBA, SSO options.

Penalties and Risks of a Faulty Clause

Unenforceable Clause: Court may refuse arbitration.

Statutory Exceptions: Certain claims cannot be waived.

Class Claims Risk: Loss of class waiver enforcement.

Increased Litigation Costs: Extended discovery and motions.

Award Vacatur Risk: Arbitral award may be vacated.

Regulatory Penalties: Consumer or employment fines possible.

Common Drafting Mistakes to Avoid

Using overly broad or unclear scope language that fails to specify covered claims, leading to disputes about whether a given dispute must proceed in arbitration.
Failing to specify the arbitration rules or provider (AAA, JAMS), edition, and any deviations, which can cause procedural delays and cost disputes between parties.
Neglecting clear fee allocation or fee-shifting language, leaving parties exposed to unexpected arbitrator or administrative expenses and potential nonpayment disputes.
Overlooking electronic consent and ESIGN consumer disclosure requirements for consumer-facing agreements, which can invalidate electronic signatures for protected transactions.

Key Dates and Deadlines to Set

Key dates for arbitration clauses govern limitations, appointment timing, hearing windows, award deadlines, and any post-award judicial confirmation.

Effective Date and Commencement of Proceedings:

Use MM/DD/YYYY; starts contractual deadlines and limitations.

Arbitrator Appointment Deadline and Method:

Specify timeline to appoint arbitrator and replacement procedure.

Pre-Hearing Discovery Schedule and Limits:

Set document request and deposition limits with firm dates.

Hearing Window, Location, and Format:

Provide hearing timeframe and whether remote or in-person.

Award Issuance, Filing, and Judicial Confirmation:

Set deadline for award, and plan for court confirmation if needed.

Real-World Examples

Practical examples illustrate how arbitration templates are applied across organizations of different sizes and regulatory contexts.

Optica Ventures

Optica Ventures used an arbitration clause template to standardize vendor disputes across multiple contracts and reduce review time.

Template reduced negotiation cycles and approvals.
By centralizing clause language and using an eSignature workflow, the company cut external counsel hours and achieved consistent enforceability language across jurisdictions, which simplified post-dispute enforcement and lowered administrative overhead over several transaction cycles.

Xerox

Xerox integrated an arbitration clause template with NetSuite to automate contract generation and signature capture across business units.

Integration significantly sped contract execution.
Automated routing and uniform clause language reduced reviewer variance, improved auditability of signed contracts, and helped the company demonstrate consistent dispute resolution practices during vendor onboarding and compliance reviews and reduced training needs.

eSignature Pricing and Feature Comparison

Pricing and feature comparison for eSignature vendors commonly used to execute arbitration agreements. signNow is listed first to help compare plan features and compliance options.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day trial	Varies	Varies	Varies	Varies
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Frequently Asked Questions

Answers to common questions about drafting, executing, and enforcing arbitration clauses, including electronic execution and state law differences.

Need help? Contact support

Can arbitration clauses be e-signed?
Yes. Under the federal ESIGN Act (15 U.S.C. §7001) and state UETA laws, arbitration agreements may be electronically signed if they meet the ESIGN/UETA validity tests: intent, consent, attribution, and record retention. Confirm any consumer disclosure requirements for consumer-facing contracts.
When might a clause be unenforceable?
Clauses may be unenforceable if they are procedurally or substantively unconscionable, lack mutual assent, or attempt to waive non-waivable statutory rights. Certain matters (wills, court orders, family law) and specific consumer protections can fall outside enforceability; consult state law for variations.
Does ESIGN/UETA support e-signatures?
Yes. ESIGN (15 U.S.C. §7001) and UETA authorize electronic signatures and records provided the transaction satisfies intent, consent, attribution, and record retention requirements. Exceptions include wills, certain court filings, and specific statutory notices where electronic execution may be excluded.
Are class action waivers enforceable?
Enforceability of class action waivers depends on statutory law, state precedent, and federal preemption under the Federal Arbitration Act. While many waivers are upheld, some consumer protection statutes or court decisions limit waiver effect in specific contexts; seek jurisdiction-specific legal advice.
Do states require notarization or witnesses?
Generally, notarization or witnesses are not required for arbitration clauses, which are contract terms rather than probate instruments. Remote Online Notarization rules vary by state; if a signature needs notarization for ancillary documents, follow state notary and RON requirements.
How long should signed copies be kept?
Retain executed arbitration agreements for the full contract term plus a recommended period: at least three years to align with IRC §6501(a) for tax records, and six years for healthcare-related agreements to comply with 45 CFR §164.530(j).

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