Many companies prefer mandatory arbitration programs for the resolution of disputes between employer and employee; and, courts have made clear (often to the consternation of the employees) that such provisions, properly drawn and presented, are enforceable.

A recent case from the U.S. Court of Appeals for the Eighth Circuit reflects, however, that such mandatory arbitration provisions will fail if in their preparation and presentation, the employer has not satisfied the basic elements required in the making of a contract under state law.