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202002679 <br />(a) Initiation of Arbitration. The arbitration shall be initiated by either party delivering <br />to the other a Notice of Intention to Arbitrate as provided for in the American <br />Arbitration Association ("AAA") Commercial Arbitration Rules or such other <br />AAA rules as the AAA determines to be applicable (the "AAA Rules"). A <br />Respondent may join as a party to the arbitration any Bound Party who may be <br />liable to the Respondent or the Claimant with respect to the Claim. <br />(b) Governing Procedures. The arbitration shall be conducted in accordance with the <br />AAA Rules. In the event of a conflict between the AAA Rules and this Section, <br />the provisions of this Section shall govern. <br />(c) Appointment of Arbitrator. The parties shall appoint a single arbitrator by mutual <br />agreement. If the parties have not agreed within ten (10) days of the date of the <br />Notice of Intention to Arbitrate on the selection of an arbitrator willing to serve, a <br />qualified arbitrator will be appointed by AAA in accordance with AAA Rules. Any <br />arbitrator appointed in accordance with this Subsection (c) is referred to in this <br />Section as the "Arbitrator". <br />(d) Qualifications of Arbitrator. The Arbitrator must have completed all necessary <br />training to act as an arbitrator under AAA Rules and shall be neutral and impartial, <br />knowledgeable as to the subject matter involved in the dispute, and experienced in <br />arbitration proceedings. <br />(e) Disclosure. Any potential Arbitrator shall promptly disclose to the parties all actual <br />or perceived conflicts of interest involving the dispute or the parties. No Arbitrator <br />may serve if he has a conflict of interest involving the subject matter of the dispute <br />or the parties. If an Arbitrator resigns or becomes unwilling to continue to serve as <br />Arbitrator, a replacement shall be selected in accordance with the procedure set <br />forth in Subsection (c) above. <br />(f) Compensation. The Arbitrator shall be fully compensated for all time spent in <br />connection with the arbitration proceedings in accordance with the Arbitrator's <br />usual hourly rate, unless otherwise agreed to by the parties, for all time spent in <br />connection with the arbitration proceeding. Pending the final award, the <br />Arbitrator's compensation and expenses shall be advanced equally by the parties. <br />Preliminary Hearing. Within thirty (30) days after the Arbitrator has been <br />appointed, a preliminary hearing among the Arbitrator and counsel for the parties <br />shall be held for the purpose of developing a plan for the management of the <br />arbitration, which shall then be memorialized in an appropriate order. The matters <br />that may be addressed include (i) definition of issues; (ii) scope, timing, and types <br />of discovery, if any; (iii) schedule and place(s) of hearings; (iv) setting of other <br />timetables; (v) submission of motions and briefs; (vi) whether and to what extent <br />expert testimony will be required, whether the Arbitrator should engage one or <br />more neutral experts, and whether engagement of experts by the parties can be <br />obviated or minimized; (vii) whether and to what extent the direct testimony of <br />witnesses will be received by affidavit or written witness statement; and (viii) any <br />other matters that may promote the efficient, expeditious, and cost-effective <br />conduct of the arbitration proceedings. <br />Management of the Arbitration. The Arbitrator shall actively manage the <br />proceedings as the Arbitrator deems best so as to make proceedings expeditious, <br />economical, and less burdensome than litigation. <br />Confidentiality. All papers, documents, briefs, written communication, testimony, <br />and transcripts, as well as any and all arbitration decisions, shall be confidential and <br />not disclosed to anyone other than the Arbitrator, the parties or the parties' <br />attorneys, and expert witnesses to the extent applicable to their testimony; provided <br />that upon prior written consent of all parties, such information may be divulged to <br />additional third parties. All third parties shall agree in writing to keep such <br />information confidential. <br />(j) Hearing. Hearings may be held at any place within the State of Nebraska <br />designated by the Arbitrator and, in the case of particular witnesses not subject to <br />subpoena at the usual hearing site, at a place where such witnesses can be compelled <br />to attend. <br />(g) <br />Page 41 of 52 <br />