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expenses incurred for services satisfactorily and timely performed prior to the mailing or service of <br />the notice of termination, and except for reimbursement of (1) any payments made for services not <br />subsequently performed in a timely and satisfactory manner, and (2) costs incurred by CITY in <br />obtaining substitute performance. <br />XVII. <br />DISPUTES <br />A. Nonbinding Mediation. The Parties agree that any and all disputes, claims or controversies <br />arising out of or relating to this Agreement (collectively, a "Claim"), must be submitted to JAMS <br />or Indicate West, or their successor (the "Mediation Provider"), for mediation, prior to the <br />initiation of any proceeding, Either Party may commence mediation by providing a written request <br />for mediation to the Mediation Provider and to the other Party. The written request for mediation <br />must set out the subject of the dispute and the relief requested. The Parties will cooperate with the <br />selected Mediation Provider and with one another in selecting a mediator from the Mediation <br />Provider's panel of neutrals and in scheduling the mediation proceedings. The Parties will <br />participate. in the mediation in good faith, The Parties will share equally in the cost of the <br />mediation. All offers, promises, conduct, and statements, whether oral or written, made in the <br />course of the mediation by any of the Parties, their agents, employees, experts, and attorneys, and <br />by the mediator or any Mediation Provider employees, are confidential, privileged and <br />inadmissible for any purpose, including impeachment, in any action, judicial reference or other <br />proceeding involving the Parties, provided that evidence that is otherwise admissible or <br />discoverable is not rendered inadmissible or non -discoverable as a result of its use in the mediation. <br />B. Arbitra on, All Claims that are not resolved by mediation must be submitted to <br />arbitration. Either Party may initiate arbitration proceedings with respect to the matters submitted <br />to mediation at any time after the initial mediation session or at any time 60 days or more aftor <br />the date of filing the written request for mediation, whichever occurs first ("Earliest Initiation <br />Date"). Arbitration must be conducted by JAMS or Judicate West, unless otherwise agreed by <br />the Parties, in the County where the parties are located. The costs and expenses of the arbitration, <br />including without limitation, attorneys' fees, shall be borne by the Parties in the manner <br />determined by the arbitrator. <br />Any legal action taken under this agreement, including without limitation for (I) entry of <br />judgment upon any arbitration award or (ii) adjudication of any controversy, claim or dispute <br />arising from a breach or alleged breach of this paragraph may be heard or tried only in the courts <br />of the State and County in which the parties are located or the Federal District Court with <br />jurisdiction over that County, <br />C. If receiving WIOA funds, procedures governing the appeal shall be prescribed by <br />CITY and/or the State of California in accordance with the Act and all corresponding regulations <br />and OMB circulars. Pending final disposition of the appeal, CONTRACTOR shall act in <br />Page 16 of 19 <br />