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notice to continue work. <br /> 2) No Waiver.The failure or neglect of RCO to require strict compliance with any term of this Agreement or to <br /> pursue a remedy provided by this Agreement or by law shall not act as or be construed as a waiver of any <br /> right to fully enforce all rights and obligations set forth in this Agreement and in applicable state or federal law <br /> and regulations. <br /> DISPUTE HEARING <br /> Except as may otherwise be provided in this Agreement,when a dispute arises between the Sponsor and the RCO,which <br /> cannot be resolved,either party may request a dispute hearing according to the process set out in this section.Either party's <br /> request for a dispute hearing must be in writing and clearly state: <br /> A. The disputed issues; <br /> B. The relative positions of the parties; <br /> C. The Sponsor's name,address,project title,and the assigned project number. <br /> In order for this section to apply to the resolution of any specific dispute or disputes,the other party must agree in writing that <br /> the procedure under this section shall be used to resolve those specific issues.The dispute shall be heard by a panel of three <br /> persons consisting of one person chosen by the Sponsor,one person chosen by the director,and a third person chosen by the <br /> two persons initially appointed. If a third person cannot be agreed on,the persons chosen by the Sponsor and director shall be <br /> dismissed and an alternate person chosen by the Sponsor,and one by the director shall be appointed and they shall agree on <br /> a third person.This process shall be repeated until a three person panel is established. <br /> Any hearing under this section shall be informal,with the specific processes to be determined by the disputes panel according <br /> to the nature and complexity of the issues involved.The process may be solely based on written material if the parties so <br /> agree.The disputes panel shall be governed by the provisions of this Agreement in deciding the disputes. <br /> The parties shall be bound by the majority decision of the dispute panelists, unless the remedy directed by that panel is <br /> beyond the authority of either or both parties to perform,as necessary,or is otherwise unlawful. <br /> Request for a disputes hearing under this section by either party shall be delivered or mailed to the other party.The request <br /> shall be delivered or mailed within thirty(30)days of the date the requesting party has received notice of the action or position <br /> of the other party which it wishes to dispute.The written agreement to use the process under this section for resolution of <br /> those issues shall be delivered or mailed by the receiving party to the requesting party within thirty(30)days of receipt by the <br /> receiving party of the request. <br /> All costs associated with the implementation of this process shall be shared equally by the parties. <br /> ATTORNEYS'FEES <br /> In the event of litigation or other action brought to enforce contract terms, each party agrees to bear its own costs and <br /> attorneys'fees. <br /> GOVERNING LAWNENUE <br /> This Agreement shall be construed and interpreted in accordance with the laws of the State of Washington. In the event of a <br /> lawsuit involving this Agreement,venue shall be in Thurston County Superior Court if legally proper;otherwise venue shall be <br /> in the Superior Court of a county where the project is situated,if venue there is legally proper,and if not,in a county where <br /> venue is legally proper.The Sponsor,by execution of this Agreement acknowledges the jurisdiction of the courts of the State <br /> of Washington and agrees to venue as set forth above. <br /> SEVERABILITY <br /> The provisions of this Agreement are intended to be severable. If any term or provision is illegal or invalid for any reason <br /> whatsoever, such illegality or invalidity shall not affect the validity of the remainder of the Agreement. <br /> END OF STANDARD TERMS AND CONDITIONS <br /> This is the end of the Standard Terms and Conditions of the Agreement. <br /> RCO:20-1579 Revision Date: 6/1/2021 Page 21 of 21 <br />