Arbitration Clause
In plain English
An arbitration clause requires disputes to be settled by a private arbitrator instead of in court.
Full definition
An arbitration clause requires disputes to be resolved through binding arbitration — a private adjudication process — rather than in court. Arbitration is typically faster and cheaper than litigation, but it eliminates the right to a jury, dramatically limits appeals, and is conducted under rules set by an arbitration provider (AAA, JAMS) rather than public civil procedure. Many arbitration clauses also include class-action waivers and confidentiality requirements that prevent athletes from publicising the result. Athletes should pay close attention to: who pays the arbitration fees (these can run $5,000–$50,000+), whether discovery is allowed, the seat of arbitration (a clause requiring arbitration in another state can be a chokehold), and whether injunctive relief is available in court. Reject mandatory arbitration with class waivers where possible.
What it looks like in a contract
Any dispute, claim, or controversy arising out of or relating to this Agreement shall be resolved by binding arbitration administered by JAMS in accordance with its Comprehensive Arbitration Rules and Procedures, with the seat of arbitration in New York, New York, and the prevailing party shall be entitled to recover its reasonable attorneys' fees.
Synthesised from common contract patterns. Not lifted from any specific real contract.
How RevU helps
RevU's NIL contract analyzer detects arbitration clause provisions automatically — flagging the exact triggering language, scoring athlete-vs-brand friendliness, and surfacing negotiation leverage where it exists. See How RevU surfaces forum risk for the full product context.
Check your contract freeRelated terms
Choice of Law
Choice of law is the clause that decides which state's laws will be used to interpret and enforce the contract.
Governing Law
Governing law is the specific law (usually a state's) that will be used to interpret the contract — paired with choice of law and venue.
Waiver
A waiver clause says that letting a breach slide once doesn't mean you've given up your right to enforce the contract later.
Severability
Severability is the rule that if one part of the contract is found illegal or unenforceable, the rest of the contract still applies.