How to draft an Arbitration Agreement

Section 7 of the Arbitration and Conciliation Act defines arbitration agreement.
An Arbitration Agreement is formed when two parties enter into a contract and agree in writing that any disputes arising between them out of that contract will have to be resolved without going to the courts and with the assistance of a neutral person: a third party appointed by both of the parties, known as the Arbitrator, who would act as a judge and whose decision will be binding upon the parties.