A person or entity seeking to compel arbitration under the Federal Arbitration Act—or under a state law arbitration statute—generally must establish that a valid arbitration agreement exists and that the person or entity’s claims are within the scope of the arbitration agreement. A party typically initiates an arbitration proceeding by filing the arbitration case with the agreed-upon administrator of the arbitration (AAA, JAMS, FINRA), or by filing a motion to compel arbitration when another party has initiated a legal action in court (a lawsuit).
In Tennessee, as in other states, the process to compel arbitration is guided by both the Federal Arbitration Act (FAA) and state arbitration statutes. To compel arbitration, the party seeking it must demonstrate that a valid arbitration agreement exists between the parties involved and that the claims at issue fall within the scope of that agreement. If there is a dispute over the applicability of arbitration or compliance with an arbitration clause, the party may initiate arbitration through the appropriate arbitration organization, such as the American Arbitration Association (AAA), JAMS, or the Financial Industry Regulatory Authority (FINRA), depending on the terms of the arbitration agreement. Alternatively, if a lawsuit has been filed in court, the party seeking arbitration would file a motion to compel arbitration in court. The court will then determine whether the parties should be compelled to arbitrate the dispute in accordance with the arbitration agreement. Tennessee courts generally favor arbitration as a means of dispute resolution and will enforce arbitration agreements if they are valid and the disputes fall within their scope.