Pursuant to Texas Property Code, Section 41.007(3)(c), for improvements made to a homestead Property, a binding arbitration provision is only valid and enforceable if it is conspicuously printed, e.g., in all caps, or typed in at least 10-point bold font. There are many different ways to draft a valid binding arbitration provision, but at a minimum, an enforceable provision for a Home Improvement Contract might read as follows:

THE PARTIES AGREE THAT ANY AND ALL DISPUTES ARISING OUT OF OR IN ANY WAY RELATED TO THE RIGHTS AND OBLIGATIONS OF THIS CONTRACT, SHALL BE SUBMITTED TO BINDING ARBITRATION WITH THE AMERICAN ARBITRATION ASSOCIATION (“AAA”) AND SUBJECT TO THE HOME CONSTRUCTION ARBITRATION RULES AND MEDIATION PROCEDURES.