[Code of Federal Regulations]
[Title 37, Volume 1]
[Revised as of July 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 37CFR251.31]

[Page 619]
 
              TITLE 37--PATENTS, TRADEMARKS, AND COPYRIGHTS
 
                                CONGRESS
 
PART 251_COPYRIGHT ARBITRATION ROYALTY PANEL RULES OF PROCEDURE--Table of Contents
 
                     Subpart D_Standards of Conduct
 
Sec. 251.31  Financial interests.

    (a) No selected arbitrator shall have a direct or indirect financial 
interest--
    (1) In the case of a distribution proceeding, in any claimant to the 
proceeding whether or not in a voluntary settlement agreement, or any 
copyright owner who receives royalties from such claimants because of 
their representation;
    (2) In the case of a rate adjustment proceeding, in any individual, 
organization or entity that would be affected by the outcome of the 
proceeding.
    (b) ``Direct or indirect financial interest'' shall include: Being 
employed by, being a consultant to, being a representative or agent for, 
being a member or affiliate of, being a partner of, holding any office 
in, owning any stocks, bonds, or other securities, or deriving any 
income from the prohibited entity.
    (c) ``Direct or indirect financial interest'' shall not include--
    (1) Owning shares in any stock or bond mutual fund or blind trust 
which might have an interest in a prohibited entity but whose decisions 
to invest or sell is not under the control of the selected arbitrator, 
or
    (2) Receiving any post-employment benefit such as health insurance 
or a pension so long as the benefit would not be affected by the outcome 
of the proceeding.
    (d) For the purposes of this section, the financial interests of the 
following persons will serve to disqualify the selected arbitrator to 
the same extent as if they were the arbitrator's own interests:
    (1) The arbitrator's spouse;
    (2) The arbitrator's minor child;
    (3) The arbitrator's general partner, except that the personal 
financial holdings, including stock and bond investments, of such 
partner will not serve to disqualify the selected arbitrator; or
    (4) An organization or entity for which the arbitrator serves as 
officer, director, trustee, general partner or employee.

[59 FR 23981, May 9, 1994, as amended at 59 FR 63040, Dec. 7, 1994]

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