What is the public policy exception to the enforcement of an arbitration agreement?
The public policy exception to the enforcement of an arbitration agreement in Kansas is a doctrine that allows parties to a contract to contest the binding nature of arbitration agreements under certain circumstances. This exception allows a party to an arbitration agreement to challenge the agreement if the arbitration agreement does not comply with the state’s public policy. The public policy exception in Kansas is rooted in the state’s policy in favor of allowing parties to proceed to a court trial rather than to an arbitration proceeding. This policy allows parties to retain their right to a jury trial regardless of their having previously agreed to arbitration. The public policy exception in Kansas may be invoked when: the arbitration agreement is unconscionable or does not comply with public policy, or when the agreement unfairly surprises the parties to the contract. The public policy exception prevents the enforcement of an arbitration agreement when it is not in the best interest of the parties in the contract. The public policy exception is a legal safeguard that is meant to ensure that arbitration agreements are only enforced when they are in accordance with the state’s public policy. Parties to a contract in Kansas may be able to challenge an arbitration agreement if the agreement is found to be in violation of public policy.
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