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Arbitration clauses are commonly found in home inspection contracts and have been beneficial for many years. However, as states implement more regulations, there is a growing concern about the ability to appeal decisions related to legal standards of care. In arbitration, decisions made by arbitrators regarding law, evidence, and testimony are typically not appealable, except in very limited circumstances. This limits the avenue for addressing mistakes of law, as an appeal can only be pursued on the grounds of fraud committed by the arbitrator, a scenario that is extremely rare. Therefore, the lack of appeal options should be carefully considered when deciding whether to include an arbitration clause in contracts. It's also advisable to consult with your attorney.
