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58 TOOLS / 194 GUIDES
NEW ×194 State Health Insurance Mandates 2026
Law & Rights · plain-English definition

Employment Arbitration Clause

A contract term sending employment claims to private arbitration.

What it is

Arbitration clauses replace court for most employment claims, with a chosen provider, a fee split, a limits-on-discovery rule, and a waiver of class action. Some claims are carved out: workers compensation, unemployment, and sexual assault claims in several states.

What to do about it: Read the clause before signing, and check the carve-outs and the fee-shifting terms. A clause you signed at hire is the clause that will be quoted against you at separation.

Plain-language description of US practice, not legal, tax, or financial advice. The paired guide carries the citations, dates, and thresholds; the state pages carry the local windows.