Discuss in brief the pre-requisites for an arbitration agreement.

The 'arbitration agreement' under the Arbitration and Conciliation Act, 1996 means an agreement by the parties to submit to arbitration all or certain disputes which have arisen or which may arise between them in respect of defined relationship whether contractual or not. It may be in the form of an arbitration clause in a contract or in the form of a separate agreement. It has to be in writing. It is in writing if it is contained in a document signed by the parties, or in an exchange of letters, telex telegrams or other means of telecommunication "including communication through electronic means" which provide a record of the agreement, or in an exchange of statements of claim and defence in which the existence of agreement is alleged by one party and not denied by the other. The important ingredient of the arbitration agreement is the consent in writing to submit dispute to arbitration. Consent in writing implies the application of mind to the reference of dispute to arbitration in accordance with Arbitration and Conciliation law and the binding nature of the award made there under. An arbitration agreement stands on the same footing as any other agreement. It is binding upon the parties unless it is intended with fraud, undue influence etc., in which case it can be avoided like any other agreement. An arbitration rests on mutual voluntary agreement of the parties to submit their differences to selected persons whose determination is to be accepted as a substitute for the judgement of a court. Every arbitration agreement must have the following pre- requisites: a dispute between parties to an agreement, requiring a settlement. its submission for a settlement to a third person. And a decision by such third person according to his own judgement based on the facts and circumstances of the dispute, which is binding on both the parties. Section 7 of the Arbitration and Conciliation Act, 1996 defines 'Arbitration Agreement'. An arbitration agreement must comply with the requirements of a valid contract. An arbitration agreement must be in respect of a dispute that is arbitrable.