Contracts

An Alaska purchase agreement provides that any disputes will be resolved through binding arbitration. This clause is:

AAutomatically void as contrary to Alaska public policy
BGenerally enforceable in Alaska, with the parties giving up their right to trial✓ Correct
COnly enforceable in commercial transactions
DRequired in all Alaska purchase agreements

Explanation

Binding arbitration clauses in contracts are generally enforceable in Alaska. Parties who agree to arbitration waive their right to a jury trial and instead have disputes resolved by an arbitrator. Courts will enforce these clauses unless they are found to be unconscionable.

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