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An arbitration agreement visualized when parties agree to arbitrate disputes, giving up the right to have them decided by a national court. Instead, they settle disagreements privately outside of the legal system. The agreement is between disputing parties in a legal relationship, referring a dispute to an independent tribunal to resolve it bindingly. To be valid, the agreement must be in writing, related to current or future disputes, arise from a legal relationship, have parties with legal capacity and consent, and address a subject capable of being settled through arbitration.
