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Unilateral Arbitration Clause Generator for the USA

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Unilateral Arbitration Clause

"Need a Unilateral Arbitration Clause for our new B2C software subscription service launching in March 2025, specifically ensuring the company retains litigation rights while requiring customers to use arbitration for dispute resolution."

Document background

The Unilateral Arbitration Clause is designed for use in situations where one party wishes to maintain flexibility in dispute resolution while requiring the other party to proceed through arbitration. Common in U.S. commercial relationships, particularly in business-to-consumer and employer-employee contexts, this clause must comply with the Federal Arbitration Act and applicable state laws. The clause typically specifies the scope of arbitrable disputes, arbitration procedures, and the process for selecting arbitrators.

Suggested Sections

1. Parties: Identification of contracting parties and their legal capacity

2. Background: Context and purpose of the arbitration agreement

3. Definitions: Key terms used throughout the agreement including 'Arbitration', 'Dispute', 'Award'

4. Scope of Arbitration: Detailed description of disputes covered by the arbitration clause and the unilateral nature of the obligation

5. Arbitration Procedures: Process for initiating and conducting arbitration, including notice requirements and timelines

6. Choice of Arbitrator: Process for selecting arbitrator(s) and required qualifications

7. Governing Law: Specification of U.S. law application and jurisdiction

8. Severability: Provision ensuring that if any part of the agreement is found invalid, the rest remains enforceable

Optional Sections

1. Parties: Identification of contracting parties and their legal capacity

2. Background: Context and purpose of the arbitration agreement

3. Definitions: Key terms used throughout the agreement including 'Arbitration', 'Dispute', 'Award'

4. Scope of Arbitration: Detailed description of disputes covered by the arbitration clause and the unilateral nature of the obligation

5. Arbitration Procedures: Process for initiating and conducting arbitration, including notice requirements and timelines

6. Choice of Arbitrator: Process for selecting arbitrator(s) and required qualifications

7. Governing Law: Specification of U.S. law application and jurisdiction

8. Severability: Provision ensuring that if any part of the agreement is found invalid, the rest remains enforceable

Suggested Schedules

1. Schedule A - Arbitration Rules: Detailed procedures and rules governing the arbitration process

2. Schedule B - Fee Schedule: Detailed breakdown of arbitration costs, fees, and payment responsibilities

3. Schedule C - Arbitrator Selection Process: Step-by-step process for arbitrator selection and replacement procedures

4. Appendix 1 - Notice Forms: Standard forms for initiating arbitration and other required notices

Authors

Alex Denne

Head of Growth (Open Source Law) @ ��Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Agreement

Effective Date

Party

Confidential Information

Business Day

Clauses

Relevant Industries

Financial Services
Retail
Technology
Employment

Relevant Teams

Legal
Human Resources
Compliance
Risk Management
Operations

Relevant Roles

General Counsel
HR Director
Compliance Officer
Risk Manager

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