Colorado Legislature Postpones Indefinitely SB 20-093

As previously reported, for certain consumer and employment arbitrations, Senate Bill 20-93 would have:

  • Prohibited the waiver of standards for and challenges for evident partiality prior to a claim being filed and required any waiver of such provisions after the claim is filed to be in writing;
  • Provided that the right of a party to challenge an arbitrator based on evident partiality is waived if not raised within a reasonable time of learning of the information leading to the challenge but that such right is not waived if caused by the opposing party;
  • Established ethical standards for arbitrators; and
  • Required specified public disclosures by arbitration services providers but included protections for certain confidential information.

The SB 93 would also have required an individual arbitrator for certain consumer and employment arbitrations to make additional disclosures of information that might affect the arbitrator’s impartiality.  The Bill also specified how attorney fees and other reasonable expenses are to be awarded if a court vacates an award because of an arbitrator’s evident partiality or failure to make required disclosures and clarifies when appeals of orders may be made in consumer and employee arbitrations.

The Bill also provided that for a standard form contract involving a consumer or employee:

  • Specified terms are unenforceable as against public policy;
  • Including an unenforceable term constitutes a deceptive trade practice under the “Colorado Consumer Protection Act”; and
  • Determined how certain cost-shifting provisions are to be interpreted.

On June 4th, the House Finance Committee postponed indefinitely SB 93.  I assume that the bill was killed because it was not Fast, Friendly (i.e., lacking opposition), and Free.  Though enough amendments were made to ameliorate some of the most serious concerns raised by opponents, including the construction industry, to get it out of the Senate, enough resistance remained to violate the “Friendly” test for whether the Colorado Legislature would pass is this year.  Stay tuned next year, as this issue is sure to have a repeat performance.


For additional information regarding construction litigation in Colorado, or the legislative measure which may impact such litigation, feel free to reach out to David M. McLain by telephone at (303) 987-9813 or by e-mail at mclain@hhmrlaw.com.

 

Recent Posts

Denver’s Minimum Wage: How a Small Payroll Mistake Can Become a Big Problem for Colorado Contractors

A construction company underpays an employee by $2.32 for a single day’s work.  It corrects…

4 days ago

Colorado Is Pricing Itself Out of Prosperity: Housing Affordability, Government Policy, and the Cost of Building

Colorado built its reputation on opportunity.  For decades, the state attracted families, workers, entrepreneurs, and…

6 days ago

You Filed a Mechanic’s Lien. Then You Discovered a Mistake. Now What?

Recording a mechanic's lien is an important tool for Colorado contractors seeking payment for labor,…

1 week ago

One Building, Six Owners, One Defective Stucco System: How Do You Coordinate Repairs?

Colorado's new right-of-access statute may help address one of the unintended consequences of individually owned…

1 week ago

Same Insurers, Different Results: Another Chapter in Acuity v. Kinsale and the Limits of Co-Carrier Recovery Under Colorado Law

When multiple insurers potentially owe coverage for the same construction defect claim, can one insurer…

2 weeks ago

Not All Warranty E-Mails Are Notices of Claim

Colorado's construction defect statutes establish specific requirements for notices of claim and statutory tolling. It…

2 weeks ago