(March 23) – The House passed two bills today to protect Colorado consumers and ensure fairness and transparency in arbitration.
HB18-1262, the Arbitration Transparency Act sponsored by Reps. Dominique Jackson, D-Aurora, and Dylan Roberts, D-Eagle creates basic transparency and record keeping requirements for arbitration service providers, so that the public may see an arbitrator’s list of previous cases, including who paid the arbitrator, how he or she ruled and a variety of other disclosures.
“This bill would help make arbitration fairer for everyone,” Rep. Jackson said. “The lack of transparency in arbitration makes it easier for irresponsible corporations to hide cozy relationships and wrongdoings – whether it’s sexual harassment, fraud or faulty products.”
“Basic transparency for consumers who are forced into arbitration is one step closer to becoming law,” said Rep. Roberts. “As forced arbitration is used more and more in our country it is important that consumers have access to basic information to about the process they are about to be forced to go through.”
HB18-1261, the Arbitration Fairness Act, sponsored by Rep. Mike Weissman, D-Aurora, would ensure that arbitration proceedings aren’t stacked against Colorado consumers. The bill would create uniform ethical standards for arbitrators, similar to those established for judges, and require arbitrators to disclose possible conflicts of interest.
“This legislation will put guardrails on arbitration while protecting consumers and workers in our state,” said Rep. Weissman. “Colorado consumers deserve a fair arbitration that is not tilted in favor of irresponsible corporations.”
HB18-1262 passed 34-28 and now goes to the Senate. HB18-1261 is a recorded vote away from its trip to the Senate.