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Article II

Conference and Dispute Resolution

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Section 421

The Government of the United States shall confer promptly at
the request of the Government of the Marshall Islands or the
Federated States of Micronesia and any of those Governments shall
confer promptly at the request of the Government of the United
States on matters relating to the provisions of this Compact or of
its related agreements.
Section 422

In the event the Government of the United States, or the
Government of the Marshall Islands or the Federated States of
Micronesia, after conferring pursuant to Section 421, determines
that there is a dispute and gives written notice thereof, the
Governments which are parties to the dispute shall make a good
faith effort to resolve the dispute among themselves.
Section 423

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If a dispute between the Government of the United States and
the Government of the Marshall Islands or the Federated States of
Micronesia cannot be resolved within 90 days of written notification in the manner provided in Section 422, either party to the
dispute may refer it to arbitration in accordance with Section 424.
Section 424

Should a dispute be referred to arbitration as provided for in
Section 423, an Arbitration Board shall be established for the
purpose of hearing the dispute and rendering a decision which
shall be binding upon the two parties to the dispute unless the
two parties mutually agree that the decision shall be advisory.
Arbitration shall occur according to the following terms:
(a)
An Arbitration Board shall consist of a Chairman and two
other members, each of whom shall be a citizen of a party to the
dispute.
Each of the two Governments which is a party to the dispute shall appoint one member to the Arbitration Board.
If either
party to the dispute does not fulfill the appointment requirements
of this Section within 30 days of referral of the dispute to arbi-~
tration pursuant to Section 423, its member on the Arbitration
Board shall be selected from its own standing list by the other
party to the dispute.
Each Government shall maintain a standing

list of 10 candidates.

The parties to the dispute shall jointly

appoint a Chairman within 15 days after selection of the other
members of the Arbitration Board.
Failing agreement on a Chairman, the Chairman shall be chosen by lot from the standing lists
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