Common use of Defect Dispute Resolution Clause in Contracts

Defect Dispute Resolution. In the event Buyer and Seller cannot in good faith resolve a dispute involving the existence of a Defect or the effectiveness or adequacy of curative performed or obtained by Seller (including the alternative heirship information allowed pursuant to Section 7.3(e)), Buyer and Seller shall resolve such dispute pursuant to the terms of this Section. The Parties agree to submit all such disputes concerning title matters to binding arbitration in Houston, Texas, such arbitration to be conducted as follows. The arbitration proceeding shall be submitted to a neutral arbitrator approved by ▇▇▇▇▇ and Seller who is an attorney licensed in Ohio with at least 15 years experience in preparing oil and gas title opinions involving properties in the regional area where the lands covered by the Leases are located as to title Defects, or with at least 15 years experience regarding environmental issues and disputes relating thereto as to environmental Defects (as applicable, the “Arbitrator”). The arbitration proceeding shall be conducted by the American Arbitration Association in accordance with its commercial rules, with discovery to be conducted in accordance with the Federal Rules of Civil Procedure. The arbitration shall be governed by Texas law, except to the extent Ohio law necessarily governs such matter as it relates to real property issues or Ohio Applicable Environmental Laws. Buyer and Seller shall each submit written materials to the Arbitrator within ten (10) days of the selection of such arbitrator explaining their position regarding the title or environmental dispute. The Arbitrator shall conduct a hearing, if necessary, no later than thirty (30) days after the selection of such arbitrator, and the Arbitrator shall render a written decision within fifteen

Defect Dispute Resolution. In the event Buyer and Seller cannot in good faith resolve a dispute involving the existence of a Defect or the effectiveness or adequacy of curative performed or obtained by Seller (including the alternative heirship information allowed pursuant to Section 7.3(e)), Buyer and Seller shall resolve such dispute pursuant to the terms of this Section. The Parties agree to submit all such disputes concerning title matters to binding arbitration in Houston, Texas, such arbitration to be conducted as follows. The arbitration proceeding shall be submitted to a neutral arbitrator approved by ▇▇▇▇▇ Buyer and Seller who is an attorney licensed in Ohio with at least 15 years experience in preparing oil and gas title opinions involving properties in the regional area where the lands covered by the Leases are located as to title Defects, or with at least 15 years experience regarding environmental issues and disputes relating thereto as to environmental Defects (as applicable, the “Arbitrator”). The arbitration proceeding shall be conducted by the American Arbitration Association in accordance with its commercial rules, with discovery to be conducted in accordance with the Federal Rules of Civil Procedure. The arbitration shall be governed by Texas law, except to the extent Ohio law necessarily governs such matter as it relates to real property issues or Ohio Applicable Environmental Laws. Buyer and Seller shall each submit written materials to the Arbitrator within ten (10) days of the selection of such arbitrator explaining their position regarding the title or environmental dispute. The Arbitrator shall conduct a hearing, if necessary, no later than thirty (30) days after the selection of such arbitrator, and the Arbitrator shall render a written decision within fifteenfifteen (15) days of the hearing or, if no hearing is conducted, not later than forty-five (45) days after such arbitrator is selected. At the hearing, Buyer or Seller shall present such evidence and witnesses as they may choose, with or without counsel. Adherence to formal rules of evidence shall not be required but the Arbitrator shall consider any evidence and testimony that such arbitrator determines to be relevant, in accordance with procedures that such arbitrator determines to be appropriate. The final decision shall be binding on Buyer and Seller, final and non-appealable, and may be filed in a court of competent jurisdiction and may be enforced by the other party as a final judgment of such court. Each Party shall bear its own costs and expenses of the arbitration, provided, however, that the costs of employing the Arbitrator shall be borne fifty percent (50%) by the Seller and fifty percent (50%) by the Buyer.