Making Arbitration Truly MandatoryMaking Arbitration Truly Mandatory

Michael P. Bruyere & Meghan D. Marino

Florida recently became the first state to adopt a law that makes the mandatory arbitration clauses in trust documents truly mandatory. This landmark legislation has the potential to provide a solution to a dilemma now experienced in every other U.S. jurisdiction: While mandatory arbitration clauses offer great benefits, there's no guarantee they'll actually be enforced.

Mandatory arbitration is often good for everyone involved in a trust dispute. Grantors are assured that their private lives remain out of the courts and therefore free from public exposure. Trustees can protect trust assets, while limiting their liability, thus reducing the overall cost of trust administration. Beneficiaries can avoid ...