How is an International Arbitration Agreement Created?

Through Negotiations, Drafting and Inclusion into the NAFTA Agreement:  Typically, agreement by the parties to engage in international arbitration is evidenced within the NAFTA agreement, usually under the heading of “Dispute Resoultion Section” (“DRS”).  It is universally required that, for any arbitral tribunal to obtain jurisdiction over a party to require them to appear at arbitration – to hear a dispute and issue an award – said party must have agreed to the arbitration process (usually set forth in the DRS) usually, as evidenced by the executed NAFTA agreement.