Texas courts strongly favor enforcing arbitration agreements or contractual clauses requiring arbitration. Senate Bill 1264, passed during the 2019 legislative session, outlines arbitration and mediation processes for certain billing disputes.These contracts may be an attractive concept to physicians, but those who use them must have an understanding of federal and state law. The law outlines two processes: • Mediation: Used for billing disputes between out-of-network facilities and health plans. Is an arbitration agreement something I'm supposed to find and fill out on my own? By signing, you commit to use binding arbitration to settle any legal claims you may want to bring against your doctor, hospital, or clinic.