Electronic Arbitration Agreements

September 18th, 2021

Well structured, electronic arbitration agreements can be enforced under the FAA. However, this nascent model creates unique problems and parties wishing to use electronic arbitration agreements will benefit from the assistance of a lawyer to ensure the validity of the formation of a contract. Under E-SIGN, “electronic signature” means “an electronic sound, symbol or process attached to or logically related to a contract or other record and which is performed or accepted by a person intending to sign the record”. 8 The courts have interpreted that definition consistently to apply to any inactive act which gives consent on behalf of the contracting parties. While the FAA only applies to “written provisions” or “written agreements,” the few jurisdictions that have explicitly considered the issue have had no difficulty in concluding that electronic arbitration agreements meet the requirement of the “written provision” and therefore fall within the FAA`s jurisdiction. For example, in Campbell v. General Dynamics Gov`t Sys. The Federal Arbitration Act (FAA) 1 generally requires the application of “written” arbitration agreements contained in intergovernmental commercial contracts. Specifically, it requires a “written provision” dealing with arbitration in the contract or a “written agreement to submit to arbitration.” 2 At the time of the adoption of the FAA, the dissemination of electronic signatures and contracts was probably not foreseen; This is why we are looking for other legislative and judicial interpretations for an analysis of the issue of the “letter”. Therefore, the issues that apply to electronic arbitration agreements focus more on the design of the electronic arbitration agreement than on the content of the agreement.17 Binding arbitration agreements can be an effective instrument to limit the liability burden on healthcare providers, not only with respect to patients` legal actions, but also in the legal actions of staff and suppliers. However, given that more and more contracts are being performed electronically, the question arises as to whether it is possible to impose arbitration agreements electronically. .

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