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Can I require customers to sign contracts with binding arbitration clauses in Wyoming? What are the requirements?
Requirements for binding arbitration clauses in Wyoming
Yes, you can require customers to sign contracts with binding arbitration clauses in Wyoming. The Wyoming Statutes provide guidelines for arbitration agreements in the state.
According to WYST 1-36-103, a written agreement to submit any existing or future controversy to arbitration is valid, enforceable, and irrevocable, except on grounds that exist at law or in equity for the revocation of the contract. This includes arbitration agreements between employers and employees or between their respective representatives unless otherwise provided in the agreement.
WYST 12-9-117 states that no manufacturer shall effect any sale to a distributor in Wyoming except pursuant to a written contract between the manufacturer and the distributor. This means that if you are a manufacturer selling to a distributor in Wyoming, you must have a written contract that includes a binding arbitration clause.
The arbitration agreement should also specify the method of appointment of arbitrators. If the agreement does not provide a method, or if the agreed method fails or cannot be followed, or when an arbitrator fails or is unable to act and his successor has not been appointed, the court on application of a party shall appoint one or more arbitrators [WYST 1-36-105].
Venue and jurisdiction
An initial application for arbitration shall be made to the court of the county in which the agreement provides the arbitration hearing shall be held. Otherwise, the application shall be made in the county where the adverse party resides or has a place of business or, if he has no residence or place of business in this state, to the court of the county where the adverse party can be served [WYST 1-36-118].
The court that has jurisdiction over the parties is the district court. An agreement providing for arbitration in Wyoming may be enforced by the court in the county where the parties to the controversy reside or may be personally served [WYST 1-36-102].
Fees and representation
The arbitrators’ expenses, fees, and other costs, not including counsel fees, incurred in the arbitration shall be paid as provided in the award, unless otherwise provided in the arbitration agreement [WYST 1-36-112].
A party may be represented by an attorney at any arbitration proceeding or hearing. A waiver of representation prior to the proceeding is ineffective [WYST 1-36-108].
Conclusion
To require customers to sign contracts with binding arbitration clauses in Wyoming, you must have a written agreement that specifies the method of appointment of arbitrators and the county where the arbitration hearing shall be held. The agreement should also include provisions for the payment of arbitrators’ expenses and fees. Customers have the right to be represented by an attorney at any arbitration proceeding or hearing.
Jurisdiction
Wyoming