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Model Tiered ADR Clause

  1. If any dispute arises out of or relating to this agreement the parties will attempt to settle it in good faith by negotiation.
  2. If the parties are unable to settle any dispute by negotiation within twenty-one (21) days, the parties will attempt to settle it by mediation in accordance with the Chicago International Dispute Resolution Association ("CIDRA") Mediation Rules.
  3. To initiate a mediation a party by its Managing Director or appropriate Officer must give notice in writing (ADR notice) to the other party [ies] to the dispute addressed to its/their respective Managing Director/appropriate Officer requesting a mediation in accordance with the ADR clause. The Mediation shall occur within twenty-one (21) days of the written notice requesting mediation. The mediation shall conclude, if the dispute is not resolved, within twenty-one (21) day from the mediation's first session.
  4. To initiate an arbitration proceeding a party by its Managing Director or appropriate Officer must give notice in writing (ADR notice) to the other party[ies] to the dispute addressed to its/their respective Managing Director/appropriate Officer noticing  an arbitration proceeding  in accordance with the ADR clause. The arbitration proceeding's first session, whether it is a pre-arbitration hearing or the arbitration's first hearing session, shall occur within twenty-one (21) days of the written noticing the arbitration proceeding. The arbitration shall be conducted in accordance with the CIDRA Arbitration Rules.