Employment arbitration agreements are legal contracts between employers and employees that say there will be no lawsuits filed in court for disputes. Arbitration clause is a contractual clause that specifies arbitration as the method for resolving disputes, avoiding court litigation.Our original ClauseBuilder online tool assists individuals and organizations in developing clear and effective arbitration and mediation agreements. The responsible party or parties will deposit with the Arbitrator the estimated fee and expenses. Binding mandatory arbitration leaves a Texas worker unable to hold a company accountable for potential illegal termination. But does that mean that the employer must agree to arbitrate any and all disputes with its employee? Nothing in the FAA suggests that it does. Arbitration Rules and Mediation Procedures. You may have a separate arbitration agreement or include it as a clause in a broader contract. In the Event of a legal issue, I agree to engage in good faith efforts to mediate any dispute that might arise.