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Arbitration clauses are commonly found in home inspection contracts and have been beneficial for many years. However, as more states implement regulations, the issue arises that there is now a legal standard of care that needs to be adhered to. The challenge with arbitration is that the arbitrator's decisions are generally not appealable, unless under very limited circumstances. This lack of ability to appeal a mistake of law could be a crucial factor in deciding whether to use an arbitration clause. It is important to thoroughly review and consider these implications before including an arbitration clause in your contract.
