]]> Home | Message Board Home Search Arbitration Investors Brokers Finance Law Compliance Archives New Jersey To Adopt Revised Uniform Arbitration Act
Joins Hawaii, New Mexico, Nevada and Utah
The New Jersey Senate Judiciary Committee is readying a modified version of the Revised Uniform Arbitration Act for adoption by the full Senate. The bill, S514, proposed by Sen. Robert Martin, received a second reading on May 9 (an article on ADRWorld.com (5/13) reported that the full Senate approved the bill, but we have not been able to confirm that).
If the bill is finally enacted, New Jersey will become the fifth state to make law of the model RUAA provisions that were drafted and adopted in August 2000 by the National Conference of Commissioners on Uniform State Laws. Hawaii, New Mexico and Nevada adopted the model legislation in 2001 and Utah enacted it earlier this year.
According to the NCCUSL WebSite, www.nccusl.org, versions of the RUAA are also under consideration in the legislatures of Arizona, District of Columbia, Idaho, Illinois, Indiana, Minnesota, Missouri, Ohio, Virginia and West Virginia. Bills were submitted in Connecticut and Vermont this year, but died in committee.
The Jersey bill modifies the Uniform Act in several ways to acknowledge existing New Jersey precedent. For instance, the New Jersey Supreme Court has held that expanded judicial review of arbitration Awards may be agreed to by the parties. Section 4, therefore, modifies the Uniform Act to reflect that case law and to make clear that parties are free to expand the scope of judicial review.
The bill has an effective date of September 1, 2002, meaning that, if enacted, it will only apply to arbitration agreements made on or after that date. However, by January 1, 2005, all extant agreements will become subject to the new provisions. (SAC Ref. 02-22-01)
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Nothing herein is intended as legal or financial advice. The law is different in different jurisdictions, and the facts of a particular matter can change the application of the law. Please consult an attorney or your financial advisor before acting upon the information contained in this article.
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