What is the Federal Arbitration Act?

The Federal Arbitration Act (FAA) is a U.S. federal law that outlines how arbitration disputes should be handled. The FAA was enacted in 1925 with the goal of establishing a uniform federal law to govern arbitration. This law applies to agreements between two parties in which they agree to settle any dispute through arbitration instead of taking the dispute to court. It applies to contracts relating to interstate and foreign commerce and provides a way for the parties to settle their differences without the need to go through the formal court system. The FAA governs not only the process of arbitration but also the enforceability of arbitration agreements. Under the FAA, an arbitration agreement is considered valid and enforceable in a court of law, and a court must enforce the terms of the agreement and the award issued by the arbitrator. The FAA also governs the process of selecting an arbitrator—the party selecting the arbitrator must ensure that the arbitrator is impartial and free from any conflict of interest. In Kansas, the FAA applies to arbitration disputes arising from contracts that involve either interstate or foreign commerce. This means that any arbitration agreement that involves businesses or transactions across state lines must comply with the provisions of the FAA. For other arbitration disputes that arise within the state, the Kansas Arbitration Act of 1951 will apply.

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What is the Federal Arbitration Act?

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