Arbitration Contract Clauses Require An Affirmative Agreement – AB326
The enactment of Assembly Bill 326 in the Nevada State Legislature’s 77th Session requires that all agreements, with the exception of collective bargaining agreements, containing an arbitration clause include specific authorization for the arbitration provision, indicating the affirmative agreement by the parties to submit any disputes to arbitration. An agreement that lacks this specific authorization is “void and unenforceable.”
The bill became effective October 1, 2013. The full text of AB 326 is available here: https://www.leg.state.nv.us/Session/77th2013/Bills/AB/AB326_EN.pdf.
Reisman Sorokac’s Corporate department assists clients with contracts and other related matters.