The Federal Arbitration Act (FAA) establishes a strong national policy favoring arbitration and requires courts to enforce arbitration agreements in contracts involving interstate commerce. It broadly applies across the United States and often preempts conflicting state laws, making it the primary framework for many commercial and international disputes.

Currently the Texas legislative framework for arbitration is 2-layered: Chapter 171 serves as the default arbitration framework; Chapter 172 provides a tailored regime for international commercial arbitration. Both Chapters 172 and 171 may be found in Title 7 of the Texas Civil Practice and Remedies Code: https://texas.public.law/statutes/tex._civ._practice_and_remedies_code_title_7

The Texas General Arbitration Act was enacted in 1965 when the state adopted the Uniform Arbitration Act. In its current form, the TGAA may be found at Chapter 171 of Texas Civil Practices and Remedies Code. The Texas General Arbitration Act (TGAA) provides the state-law framework for arbitration in Texas and plays a central role in disputes with Houston as seat of arbitration. Like the FAA, it recognizes arbitration agreements as valid, enforceable, and binding, reflecting Texas’s strong policy favoring arbitration as an efficient alternative to litigation. What distinguishes the TGAA is its comprehensive procedural structure. It offers detailed guidance on key aspects of the arbitration process, including how parties compel or resist arbitration, how arbitrators are selected, and how proceedings are conducted. The statute also outlines the procedures for confirming, modifying, or vacating arbitration awards, giving parties clarity and predictability throughout the lifecycle of a dispute. The TGAA may govern an arbitration agreement in several important situations such as when a dispute is primarily intrastate, when the parties expressly choose Texas law, or when applying Texas procedures does not conflict with federal law. Even in cases where the FAA applies, Texas courts often rely on TGAA principles to fill procedural gaps, particularly in local disputes. For parties arbitrating in Houston, the TGAA provides a practical and structured framework that complements the federal system while reflecting Texas-specific legal and commercial considerations.

In 1989 Texas adopted the Texas International Arbitration Act (TIAA). The TIAA was the Texas version of the Model Law on Commercial Arbitration, developed by the UNCITRAL: United Nations Commission on International Trade Law (UNCITRAL). TIAA was the original name for what is now Chapter 172 of the Texas Civil Practice and Remedies Code, titled Arbitration and Conciliation of International Commercial Disputes. As part of the state’s law codification and modernization efforts, TIAA was integrated into the code structure rather than being maintained as a standalone “act.” For international commercial disputes, Chapter 172 explicitly replaces certain procedural aspects of Chapter 171 - particularly arbitrator selection and procedural rules (Subchapters B & C). However, Chapters 171’s general provisions, judicial remedies, and protections (e.g., against unconscionable agreements) may still apply.