Arbitration Agreement

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					Arbitration Agreement
This Arbitration Agreement is a non-court dispute resolution mechanism whereby the
parties agree to resolve any disputes in front of an arbitrator or an arbitration panel that
will make a final and binding decision. As drafted, this document contains numerous
standard clauses commonly used in arbitration agreements, such as selecting the
arbitral proceedings to be administered by the American Arbitration Association (AAA)
rules of arbitration. This document can be customized to fit the specific needs of the
parties.
                                             ARBITRATION AGREEMENT

This ARBITRATION AGREEMENT (hereinafter the “Agreement”) is entered into and effective as of
___[DATE]___ by and between _[PARTY 1 NAME]_ of __[ADDRESS]__, __________, __________
__________ (“Party 1”) and __[PARTY 2 NAME]_ of __[ADDRESS]__, __________, __________
__________ (“Party 2”).

1. Notwithstanding anything to the contrary in the contract between the Parties dated ___[DATE]___,
   which contract is titled __________, and which is attached as an exhibit hereto (the “Contract”), this
   Arbitration Agreement governs the resolution of any and all disputes between the Parties hereto. As
   specified herein, in the event of a dispute the Parties will first engage in confidential negotiation in
   an attempt to resolve the dispute(s). If the confidential negotiation is unsuccessful then the Parties
   will engage in binding arbitration.

2. Prior to any Party filing an arbitration demand the Parties shall first attempt to resolve any
   differences which may arise between them with respect to any provisions of the Contract, including
   the failure to perform as agreed upon in the Contract, by confidential negotiation between
   themselves personally or with the assistance of their attorneys. The Parties agree that these
   negotiations will be confidential, and will be treated as settlement negotiations as if they were
   occurring during the pendency of a judicial lawsuit pursuant to the applicable state or federal rules
   of evidence. The Party who alleges he, she, or it, has been or will be damaged shall request such
   negotiation, which may occur by telephone, video, or in-person, as may be agreed upon at the time
   (and if there is no agreement then by telephone) at least __________ days before making an
   arbitration demand. The negotiation must occur within __________ days of the negotiation
   demand. Following the initial attempt at negotiation, if the Parties have not resolved their
   difference and if the amount in controversy exceeds __[$ AMOUNT]__, then within __________
   days of the initial attempt at negotiation the highest level executives of each Party shall personally
   participate in negotiations, which may occur by telephone, video, or in-person, as may be agreed
   upon at the time (and if there is no agreement then by telephone). In furtherance of the provisions
   of this section, all Parties hereby agree to make themselves available on short notice and to
   negotiate promptly and in good faith, any matter any party may wish to negotiate.

3. If there is no resolution through confidential negotiation then any remaining dispute shall be
   submitted to binding confidential arbitration before the American Arbitration Association (“AAA”),
   JAMS/Endispute, Judicate West, or a similar reputable arbitration service, in accordance with the
   applicable rules and procedures of the arbitration service or organization at the time of entering into this
   Agreement, except as set forth herein.

4. If the Parties cannot agree upon an arbitrator within thirty (30) calendar days of the giving of notice of a
   demand for arbitration, each Party shall submit the names of three arbitrators. All such arbitrators shall be
   (i) members of a reputable arbitration service (such as, for example only, JAMS/Endispute, Judicate West,
   American Arbitration Association, ADR), (ii) persons actively involved in arbitrating private cases, and (iii)
   residents of the area where the arbitration is to occur, so as to minimize travel related expenses related to
   the arbitrator. If the Parties cannot agree on an arbitrator from that list, then the Parties shall alternately


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    strike four names from the list, with the first Party and succeeding Parties to strike being determined by
    lot. After each Party has used two strikes, the arbitrator shall be determined by entering the remaining
    names on the list in a drawing, and randomly selecting from those names, with the Party selecting being
    the Party who was not the first Party to strike a name. If a three member panel is to be chosen, each party
    will select one arbitrator and the two selected arbitrators will choose the third arbitrator, who will be the
    presiding arbitrator on the three member panel. If there are more than two Parties to the arbitration then
    the process for choosing two arbitrators will be the same as above, and the two selected arbitrators will
    choose the third arbitrator, who will be the presiding arbitrator on the three member panel.

5. There will be a single arbitrator if the total amount in dispute or damages is less than __[$ AMOUNT]__,
   in which instance the arbitrator will be prohibited from, and will lack the power to, award more than a
   total of __[$ AMOUNT__] in damages to all damaged parties, exclusive of any award, if any is allowed in
   the Agreement, for attorneys’ and experts’ fees and costs, and the fees and costs of the arbitration. There
   shall be a panel of three arbitrators if the total amount in dispute or damages is more than __[$
   AMOUNT]_.

6. If the total amount in dispute is less than _[$ AMOUNT]_, the arbitration will be conducted by a single
   telephonic hearing, not to exceed __________ hours. The expedited rules of the arbitration service or
   organization will apply. The arbitrator will be prohibited from, and will lack the power to, award more than
   a total of _[$ AMOUNT]_ in damages to all damaged parties, exclusive of any award, if any is allowed in
   the Agreement, for attorneys’ and experts’ fees and costs, and the fees and costs of the arbitration.

7. If the arbitrator(s) awards more than a total of __[$ AMOUNT]_ in damages to all damaged parties,
   exclusive of any award, if any is allowed in the Agreement, for attorneys’ and experts’ fees and costs, and
   the fees and costs of the arbitration, then the dispute and award may be challenged by any party ordered
   to pay such amount(s), which challenge will be through appellate arbitration to a new three member
   panel of arbitrators through the same arbitration service or organization.

8. If there is arbitration there shall be full rights of discovery and ability to subpoena and call witnesses
   pursuant to the law and court rules of the jurisdiction or venue where the arbitration is being held, even if
   the rules of the arbitration organization do not require or allow this.

9. Unless agreed to otherwise, the Party who initially asserts a claim or claims for arbitration will advance
   _[PERCENT %]_ of all necessary costs and expenses of arbitration (excluding the legal fees and costs of a
   Partner) and the other Party or Parties will be responsible for _[PERCENT %]_, unless the arbitrator
   decides otherwise upon motion by a Party, including by taking into consideration whether cross-claims are
   asserted and the proportionate value of those cross claims as well as the likely percentage of time to be
   devoted in the arbitration to such cross-claims, and the financial ability and proportionate resources of the
   Parties, which may be submitted in private. The ultimate cost of the arbitration, including legal fees and
   costs, shall be borne by the losing Party or in such proportion as the arbitrator shall decide based upon
   supported law and facts. The cost of motions brought and lost, including legal fees and costs, shall be
   borne by the losing Party or in such proportion as the arbitrator shall decide based upon supported law
   and facts including if the arbitrator determines that there was not a good faith basis for bringing or
   opposing some portion or all of the motion, which arbitration and attorneys’ fees and costs may be
   sought, awarded, payable, and confirmable by a court of competent jurisdiction following a ruling on the
   motion and prior to the conclusion of the arbitration.




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10. It is agreed that the decision, award or judgment of the arbitrator(s) in the arbitration may be confirmed
    by a court of competent jurisdiction and thereafter enforced in the same manner as if it had been
    rendered by a judge or jury in a judicial proceeding. The Parties agree to use all reasonable efforts to keep
    all matters relating to any arbitration hereunder confidential.

11. In the event an arbitration decision, award or judgment is obtained, or settlement consent judgment
    agreed to, whether entered, filed or confirmed in court or not, the Party against which there may be
    obligation or against which the decision, award or judgment has been made agrees to pay all attorneys'
    fees and costs incurred in the enforcement of any such agreement, decision, award or judgment. This
    provision is separate and apart from any other provision for attorneys' fees and costs incurred to enforce
    the agreement, decision, award or judgment.

    This provision does not merge with any arbitration or judgment and may be used either (1) as a basis for
    obtaining attorneys' fees and costs in the same matter in which an award or judgment was obtained or (2)
    as a basis for obtaining attorneys' fees and costs in a separate action.

12. The arbitrator shall set forth in writing evidentiary rulings, findings of fact and conclusions of law, and in
    supported and reasoned decision(s) shall render all awards, including for baseless motions, motions not
    brought in good faith, and bad faith evasions, failures, and refusals, to comply with procedures, discovery,
    or proceedings, based thereon. Following application by any Party to a court of competent jurisdiction for
    an order confirming, modifying, or vacating the award, the court shall have the duty, right and power to
    review: (a) whether the findings of fact rendered by the arbitrator(s) are supported by admissible
    evidence, and by the proper burden of proof; (b) whether, as a matter of law based on such findings of
    fact, the award should be confirmed, modified or vacated; and (c) whether the decision is thus properly
    supported and reasoned, and if not whether such portion as is not should be modified or vacated. Upon
    such determination, judgment shall be entered in favor of any Party consistent therewith. The Court shall
    grant attorneys’ fees and costs to the Party that prevails on any action, proceeding, motion, appeal, or the
    like, to oppose confirmation, or to modify or vacate an award.

13. Notwithstanding the foregoing any Party may seek preliminary or permanent injunctive relief or
    restraining order from any court of competent jurisdiction, which rights and remedies shall be cumulative
    and in addition to any other rights or remedies at law or in equity to which any Party may be entitled.

14. Each Party will bear their own fees and costs, including those of attorneys or experts, in relation to any
    arbitration or litigation, except as specifically set forth herein.

15. The Parties further agree that service of process may be effectuated upon them by first class mail, postage
    pre-paid, certified, return receipt, to the above address, or such new postal address as the other Party
    receives written notice of, or which may be readily ascertained. The Parties agree not to avoid signing for
    and receiving such service.

16. The Parties hereto agree that no report of anything said or of any admission or communication made in
    the course of the dispute resolution shall be used as evidence or shall otherwise be admissible in any legal
    proceeding, except with the consent, in writing, of all of the Parties.

17. Amendments. No modification, revision, supplementation, abrogation, termination, extension, waiver,
    or amendment to or of this Agreement, or any other agreement between the Parties, (including any



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    attachments or exhibits) or any of its provisions, may be made, and any attempts shall not be binding,
    unless agreed to by duly authorized representatives of the Parties, in writing, executed, as set forth below
    in this section.

    There shall be no oral agreements regarding the subject matter of this Agreement, or any other purported
    agreement between the Parties. Electronic writings, including e-mail messages, text messages, tweets,
    instant messages, etc., their contents, and any attachments or links, and any prior or subsequent
    communications including oral discussions or negotiations concerning some or all of this Agreement, or
    any other purported agreement between the Parties, are not intended to represent and do not reflect an
    offer or acceptance to enter into (or amend, modify, revise, terminate, abrogate, extend, waive a breach
    or damages of, etc.) a binding contract, transaction or agreement, and are not intended to and do not
    bind any Party to this Agreement, except as set forth below in this section. Absent the written electronic
    express statement to the contrary as set out below, it is the express intention of the Parties, and the
    Parties agree, with regard to or concerning this Agreement, or any other actual or purported agreement
    between the Parties, that the Parties may determine that they wish to attempt to negotiate and enter into
    written agreements that are binding, that amend, modify, supplement, revise, terminate, abrogate,
    extend, waive a breach or damages, of this Agreement, or any other purported agreement between the
    Parties, however, the Parties intend and will continue to intend that there shall be no contract formations,
    waivers, revisions, modifications, supplementations, abrogations, extensions, amendments, or
    modifications, without one or more formal written documents executed with holographic signatures by
    hand with ink pen on paper (aka “wet signatures” or “pen on paper signatures”), or by means of formal
    secure digital signature contract execution (such as by Docusign, or Adobe eSignature) (“secure digital
    signatures”), signed by duly authorized representative of each of the Parties. Any (alleged) communication
    to the contrary in the past, now or future, is not binding on any Party to this Agreement. The written
    express statement mentioned above ("electronic express statement") shall be the following, or that which
    expresses the same intent as the following: “I expressly intend that this shall constitute an electronic
    signature to a writing thereby [forming, modifying, amending, abrogating, granting an extension in
    relations to, or waiving a breach to] a binding [contract or agreement].”

    For purposes of any agreement, a formal written document on paper with wet signatures (pen on paper
    signatures) or secure digital signatures and otherwise consistent with the requirements herein, which is
    transmitted by facsimile, the internet, or any cell/wireless/mobile telephone system, or the like, as an
    image or .pdf document is valid when signed by pen on paper, or secure digital signatures, by all parties to
    be charged. The parties expressly state and intend that emails / texts / tweets / instant messages, etc.,
    sent or received - even when there are multiples or combinations of these - do not include all of the
    essential or material terms required in order for there to be a legally binding agreement or contract
    between the Parties, agree that there is no meeting of the minds, and, regardless, are ineffective for
    purposes contract formation, modification, amendment, waiver, revision, supplementation, abrogation,
    extension, etc., without the electronic express statement mentioned above. No addition to or
    modification or consensual cancellation of this Agreement, notice or statement shall be binding unless
    made in one or more formal written documents consistent with the pen on paper signatures, secure
    digital signatures,or "electronic express statement" requirements herein. Any purported communication
    to the contrary is not binding.

    No waiver of any breach of any provision of this agreement, notice or statement shall constitute a waiver
    of any prior, concurrent or subsequent breach of the same or any other provisions hereof, and no waiver
    shall be effective unless made in writing and wet signed by pen on paper, secure digital signatures, or
    electronic express statement as set out herein.


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18. Notices. Any notice required, permitted to be given, or otherwise given hereunder may be effectively
    given by letter delivered either by personal delivery, registered mail certified return receipt requested,
    postage prepaid, or delivered by overnight delivery service, or by facsimile machine upon receipt from the
    sender of a confirmation of receipt, or by other electronic means so long as the recipient has
    acknowledged receipt (for purposes of this section an automatically generated receipt confirmation does
    NOT qualify as acknowledgement of receipt), addressed to the recipient as follows:

    In the case of Party 1:

    _[PARTY 1 NAME]_
    Attn: __________
    _[ADDRESS]_
    __________, __________ __________
    Tel: __________
    Fax: __________
    Email: __________

    In the case of Party 2:

    _[PARTY 2 NAME]_
    Attn: __________
    _[ADDRESS]_
    __________, __________ __________
    Tel: __________
    Fax: __________
    Email: __________

19. GOVERNING LAW This Agreement shall be governed by and construed in all respects in accordance with
    laws of the State of __[STATE]__, as they apply to agreements entered into and to be performed
    entirely within __[STATE]__ between __[STATE]__ residents, without regard to conflict of law
    provisions and shall be treated, in all respects, as a __[STATE]__ contract.

20. VENUE The venue for any action or claim at law or in equity hereunder shall be exclusively in and with a
    court having jurisdiction over __________ County, __[STATE]__, if disputes are to be resolved in Court, if
    at all, as set out elsewhere herein, or if arbitration or mediation is to occur, if at all, as set out elsewhere
    herein, that shall be in the same location, and the Parties irrevocably consent to the exclusive personal
    jurisdiction of such federal or state courts or arbitrators. (If this Agreement is silent regarding resolution of
    disputes other than by a court of law or equity of competent jurisdiction then the first resort will be to a
    court of competent jurisdiction.) The Parties further agree and hereby consent to, and waive all defences
    of lack of personal jurisdiction and forum non conveniens with respect to, venue and jurisdiction in
    __________ County, __[STATE]__. Notwithstanding anything to the contrary any party may seek
    preliminary or permanent injunctive relief or restraining order arising out of or related to this
    Agreement from any court of competent jurisdiction, which rights and remedies shall be cumulative and
    in addition to any other rights or remedies at law or in equity to which any Party may be entitled.

21. ENTIRE AGREEMENT This Agreement constitutes the entire agreement between the Parties and
    supersedes all prior agreements, representations, warranties, statements, promises, information,


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    arrangements and understandings, whether oral or written, express or implied, with respect to the
    subject matter hereof. The Parties shall not be bound or charged with any oral or written agreements,
    representations, warranties, statements, promises, information, arrangements or understandings not
    specifically set forth in this Agreement. This Agreement has been carefully drafted and the parties are
    convinced that this document completely and clearly expresses their intentions. Further, the parties place
    great value on the quick and inexpensive resolution of any dispute that may arise between them
    concerning this contract or the subject hereof. Therefore, the parties agree that: (i) all disputes concerning
    this agreement or the subject matter hereof shall be resolved as provided herein; (ii) this Agreement
    constitutes the sole agreement among the parties, and supersedes any and all prior or contemporaneous
    oral or written agreements, promises, or understandings among them, pertaining to the matters
    contemplated in this Agreement; (iii) no express or implied representations, warranties, or inducements
    have been made by any party to any other party except as set forth in this Agreement; (iv) this Agreement
    may not be amended, added to, or altered except by a writing duly executed by each of the parties
    hereto, as set forth herein; and (v) no parole or extrinsic evidence whatsoever may be introduce or
    considered in any judicial or arbitration proceeding involving this agreement, for any purpose, including to
    interpret, explain, clarify, or add to this Agreement, except in any instance in which a provision is found in
    whole or in part to be invalid, illegal or unenforceable and subject to severability and the arbitrator or
    court undertakes to re-write or construe the severed provision as closely as possible to conform to the
    intent of the parties.

22. SEVERABILITY. Each of the provisions of this Agreement (and each part of each such provision) is
    severable from every other provision hereof (and every other part thereof). In the event that any
    provision (or part thereof) contained in this Agreement or the application thereof to any
    circumstance shall be invalid, illegal or unenforceable, in whole or in part, and to any extent: (i) the
    validity, legality or enforceability of such provision (or such part thereof) in any other jurisdiction
    and of the remaining provisions contained in this Agreement (or the remaining parts of such
    provision, as the case may be) shall not in any way be affected or impaired thereby; (ii) the
    application of such provision (or such part thereof) to circumstances other than those as to which it
    is held invalid, illegal or unenforceable shall not in any way be affected or impaired thereby; (iii) if
    possible, such provision (or such part thereof) shall be construed or re-written as closely as possible
    to conform to the intent of the parties, in which instance parole or extrinsic evidence may be
    considered to do so; (iv) if not susceptible to such construction, such provision (or such part thereof)
    shall be severed from this Agreement and ineffective to the extent of such invalidity, illegality or
    unenforceability in such jurisdiction and in such circumstances; and (v) the remaining provisions of
    this Agreement (or the remaining parts of such provision, as the case may be) shall nevertheless
    remain in full force and effect.

23. HEADINGS. The headings for sections herein are for convenience only and shall not affect the
    meaning of the provisions of this Agreement. Such headings shall not be deemed to govern, limit,
    modify or in any other manner affect the scope, meaning or intent of the provisions of this
    Agreement or any part thereof, nor shall they otherwise be given any legal effect.

24. NO UNANNOUNCED MODIFICATIONS TO SIGNATURE DOCUMENTS. The Parties have reviewed
    (and, if applicable, negotiated) this Agreement, in its electronic form. They desire to sign the hard-
    copy version without having to re-read it to confirm that no unauthorized changes were made
    before the final printout. Accordingly, by signing and delivering this Agreement, and/or any exhibit,
    amendment, or addendum to it, now or in the future, each Party represents that it has not made
    any changes to any other draft provided to (or by) the other party, unless the signing Party has


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    redlined the changes or otherwise expressly called them to the other party’s attention in writing.
    (Non-substantive format clean-up and correction of immaterial spelling errors need not be
    redlined.)

25. WAIVER A waiver by any Party of any provision of this agreement in any instance shall not be
    deemed to waive it for the future. A Party’s failure to insist on strict compliance with any of the
    terms of this agreement on one or more occasions is not a waiver of any rights or obligations under
    this Agreement.

26. SURVIVAL Those sections of this Agreement, that should logically survive termination or expiration
    of this Agreement, shall survive termination or expiration of this Agreement.

27. CONSTRUCTION If there is any controversy regarding this agreement or the terms of this Agreement,
    this Agreement, will be deemed to have been drafted by all parties herein and will not be strictly
    construed as against any party. The parties have been made aware of their right and opportunity to
    consult with independent legal counsel and have either done so, or knowingly waive the right to do
    so. Further, the parties acknowledge that they have engaged in negotiations to reach this
    Agreement.

28. COUNTERPARTS. This Agreement, may be executed in several counterparts, each of which shall
    constitute an original and all of which, when taken together, shall constitute one and the same
    agreement, including the judicial proof of any of the terms hereof. A photocopy, fax copy, or
    electronic image copy, which depicts the inclusion of one or more signatures by pen on paper, shall
    be deemed an original.

29. ATTORNEYS’ FEES In the event of litigation or arbitration relating to the subject matter of this
    Agreement, the prevailing party shall have the right to collect from the other party its reasonable
    costs and necessary disbursements and attorneys' fees incurred in enforcing this Agreement.

30. AUTHORITY. Each person signing warrants and represents that he or she has full authority to enter
    into this Agreement, and that all representations and warranties in this Agreement, are true and
    correct.

IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement, as of __[DATE]__.


Party 1: __________                                     Party 2: __________
Per:                                                    Per:



Name: __________                                        Name: __________
Title: __________                                       Title: __________
I have authority to bind Party 1.                       I have authority to bind Party 2.




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DOCUMENT INFO
Description: This Arbitration Agreement is a non-court dispute resolution mechanism whereby the parties agree to resolve any disputes in front of an arbitrator or an arbitration panel that will make a final and binding decision. As drafted, this document contains numerous standard clauses commonly used in arbitration agreements, such as selecting the arbitral proceedings to be administered by the American Arbitration Association (AAA) rules of arbitration. This document can be customized to fit the specific needs of the parties.
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