Arbitration: A Double-Edged Sword

I sold my boat last summer, but it apparently developed an engine problem after the sale. The buyer is trying to hold me responsible for the problem and attempting to force me to participate in a binding arbitration procedure. The purchase contract did have a paragraph that discussed the arbitration of disputes, but there was no provision for me to initial the paragraph. Also, the arbitration paragraph said nothing about who would be conducting the arbitration and I have heard some bad things about the outfit selected by the buyer. Can they force me to participate in the arbitration? If I do participate, what are the advantages and disadvantages of arbitration? In this case, they can compel you to arbitrate the dispute, but they cannot force you to submit to an arbitration forum that you disagree with. In California, the resolution of a dispute through binding arbitration cannot be compelled unless the parties have agreed to do so in writing. The written agreement may be set forth as a paragraph within a contract, and in some cases, California law will require the parties to initial the paragraph and require the paragraph to be formatted in a particular font or typeface. Agreements...