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JDK:bc: 10/10/88 <br />employees, but only while acting in their capacity as such <br />and only as respects operations of the original named <br />insured, its subcontractors, agents, officers and employees <br />in the performance of the construction contract. OCWD shall <br />furnish RETAILER with certificates of insurance and <br />endorsements showing insurance coverage as described above. <br />RETAILER shall incur no expense in connection with obtaining <br />and maintaining any insurance required under paragraphs 7.2 <br />and 7.3. <br />SECTION EIGHT: DISPUTES <br />8.1 In the event of any dispute arising under this <br />Agreement, the parties hereto agree to utilize the arbitra- <br />tion procedure set forth in this Section Eight as the sole <br />and exclusive means of resolving any such dispute. <br />8.2 Arbitration shall be initiated by any party hereto <br />serving upon any other party a written demand for arbitra- <br />tion, which demand shall describe with specificity the nature <br />of the dispute. Except as specified herein, the arbitration <br />shall be conducted pursuant to the provisions of California <br />Code of Civil Procedure, Section 1280, et seq. The parties <br />hereto agree that there shall be a single neutral arbitrator <br />who shall be a civil engineer knowledgeable in water facili- <br />ties operation and reclaimed wastewater, who shall be select- <br />ed in the following manner: (A) The demand for arbitration <br />shall include a list of the names of five (5) persons accept- <br />able to the demanding party for appointment as arbitrator. <br />The responding party shall determine if any of the names <br />25B72-7 <br />EXHIBIT 1 <br />