Mr. X wants to start a bakery and so he contacts Mr. Y Confectioners & Bakers for supply of cakes and biscuits. The communication between the parties were over email. On e-mail, there was a term of service between the parties containing that “any disputes regarding quality or delivery shall be submitted to arbitration conducted under the guidance of Indian Confectionary Manufacturers Association. Please place your order if the above terms and conditions are agreeable to you.” X placed an order. State which statement is correct with respect to the arbitration agreement made between X and Y: –
It is not valid agreement, as the terms of service is not contained in same document of agreement
It is not valid, as the agreement is not laid down in particular format / formally.
It is not valid, as communication over email of the term of services is not proper.
Valid arbitration agreement in writing contained in correspondence between the parties over email