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Arbitration clauses are commonly found in home inspection contracts and have historically provided benefits. However, as more states implement regulatory frameworks, the legal standard of care becomes relevant. If arbitration is chosen, appealing an arbitrator's decision related to law and evidence is generally not an option, except in very limited circumstances. This lack of appeal means that the only recourse for a legal mistake in arbitration is proving fraud on the arbitrator's part, which is rare. Considering the inability to challenge decisions, one must carefully evaluate the use of arbitration clauses, in consultation with legal advisors.
