Final answer:
True. Many credit card agreements, employment contracts, electronic contracts, and software licenses contain arbitration clauses requiring any disputes arising from the contracts to be heard through a nonjudicial process.
Step-by-step explanation:
True. Many credit card agreements, employment contracts, electronic contracts, and software licenses contain arbitration clauses requiring any disputes arising from the contracts to be heard through a nonjudicial process. These clauses serve the purpose of resolving disputes outside of the traditional court system, often through private arbitration. This allows for a faster, more efficient resolution to conflicts.
In the event a dispute shall arise between the parties to this [contract, lease, etc.], it is hereby agreed that the dispute shall be referred to United States Arbitration & Mediation for arbitration by United States Arbitration & Mediation Rules of Arbitration.
Arbitration is a form of dispute resolution in which the parties to a contract agree to have their dispute resolved by a third-party decision-maker, rather than through litigation, and agree that this third party's ruling will be binding on them.
The law of the arbitration clause potentially governs matters including the formation, existence, scope, validity, legality, interpretation, termination, effects and enforceability of the arbitration clause and identities of the parties to the arbitration clause.