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5. Scheduling and Timing of Arbitration.
The arbitrators must begin the formal arbitration hearing within one hundred-twenty (120) days of the
date the last arbitrator is appointed. The arbitration hearing must be completed within sixty (60) days
following the close of discovery. The parties and arbitrators shall use their best efforts to ensure that the
arbitration hearing proceeds in a timely fashion without unnecessary delay (“unnecessary delay” is
defined as a period of time that exceeds five (5) consecutive business days). The Parties must ascertain
the ability of each arbitrator to comply with this scheduling requirement as a condition of his/her
selection as an arbitrator. If the arbitration hearing is not begun within this period, either Party shall
have the right to file suit, a motion, a petition, or otherwise commence a legal proceeding in the United
States District Court of Texas and shall have the right to refuse to participate further in any arbitration
proceeding related to the same dispute.
6. Discovery.
In any such arbitration proceeding, each Party thereto shall have access to the relevant books and
records of the other Party and the power to call any employee, agent or officer of any other Party for
testimony and shall have all other rights to discovery afforded under the Federal Rules of Civil
Procedure, as well as the rules or laws applicable to the Federal District Court proceedings in Texas, all
of which shall be fully enforceable by the arbitrators or, if they fail to effect such enforcement, by the
United States District Court of Texas. Any discovery by the Parties to the arbitration shall be performed
within a discovery period to be defined and limited by the arbitrators, but in no event shall such
discovery period exceed ninety (90) calendar days following the preliminary conference, unless an
extension is mutually agreed upon in writing by the Parties.
The parties agree that each will be limited to a maximum of twenty-five (25) (including subparts)
written interrogatories and/or written document requests and/or written requests for admissions.
Responses to written discovery are due within thirty (30) days of service. Upon motion by the
aggrieved party, the arbitrators may enter any appropriate orders for non-compliance with discovery
requests against the other party up to, and including, preclusion of the presentation of certain evidence
not produced in a timely fashion. The parties may agree to reasonable extensions to respond to the
other’s discovery requests so long as the extension does not extend the overall discovery period beyond
ninety (90) calendar days following the preliminary conference.
Each party will be limited to no more than five (5) party opponent depositions and the parties agree to
make requested employees available for deposition within forty-five (45) days of such a request. If
either party believes a deposition has been requested in bad faith or for the purposes of harassment,
delay or otherwise, either party may move for an appropriate protective order and the arbitrators shall
rule on such protective order. Either party may also move for additional depositions or deponents
should the issues reasonably require and the arbitrators shall rule on such request.
The arbitrators shall strictly enforce these discovery limits. With respect to any motions to extend or
expand discovery, the arbitrators shall not agree to do so unless, the requesting party has shown good
cause as to why the additional or expanded discovery is necessary.
On motion by either Party and for good cause shown, the arbitrators shall have the power to enter and
impose any appropriate protective orders limiting use and disclosure of any information submitted
during, or related to, the arbitration. In addition, the arbitrators shall abide by any protective orders
agreed upon by the Parties.
