Five Easy Tips to Help Ensure Your Company's Arbitration Agreement is Enforceable

Almost every employment agreement contains an arbitration clause requiring the employee to submit to arbitration if there is a dispute. But to many companies’ surprise, the arbitration clause will be found to be unenforceable by a Court if the employee challenges it. Indeed, Courts routinely find companies’ arbitration clauses to be substantively or procedurally unconscionable. In other words, the Court may find that the terms contained in the arbitration clause are “too unfair” or “one-sided” to enforce. As a result, the company may end up having to litigate the dispute in Court, or another forum, which can be very costly to the company. To help ensure that that your company’s arbitration clause is enforceable follow these five easy tips: