View Bill Status
View Bill Text
View Statement of Purpose / Fiscal Impact
S1153................................................by JUDICIARY AND RULES
SMALL LAWSUIT RESOLUTION ACT - Amends existing law relating to the Small
Lawsuit Resolution Act to increase the amount of total claims for damages
for actions subject to the Act; to increase the maximum amount of total
damages allowable pursuant to an evaluator's decision; and to reference the
increased amount in provisions relating to trial court actions.
02/13 Senate intro - 1st rdg - to printing
02/14 Rpt prt - to Jud
03/01 Rpt out - rec d/p - to 2nd rdg
03/02 2nd rdg - to 3rd rdg
03/05 3rd rdg - PASSED - 33-2-0
AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett,
Coiner, Corder, Davis, Fulcher, Gannon, Geddes, Goedde, Hammond,
Heinrich, Hill, Jorgenson, Kelly, Keough, Langhorst, Little, Lodge,
Malepeai, McGee, McKague, McKenzie, Pearce, Richardson, Schroeder,
Siddoway, Stegner, Stennett, Werk
NAYS -- Cameron, Darrington
Absent and excused -- None
Floor Sponsor - Corder
Title apvd - to House
03/06 House intro - 1st rdg - to Jud
03/16 Rpt out - rec d/p - to 2nd rdg
03/19 2nd rdg - to 3rd rdg
03/22 3rd rdg - PASSED - 42-28-0
AYES -- Anderson, Andrus, Barrett, Bell, Bilbao, Block, Boe,
Brackett, Bradford, Chadderdon, Chavez, Chew, Clark, Crane, Edmunson,
Eskridge, Hart, Harwood, Henderson, Killen, King, Lake, LeFavour,
Loertscher, Luker(Luker), Mathews, McGeachin, Mortimer, Nielsen,
Pasley-Stuart, Patrick, Pence, Rusche, Sayler, Shepherd(2),
Shepherd(8), Shirley, Smith(24), Stevenson, Thayn, Wills, Wood(27)
NAYS -- Bayer, Bedke, Black, Bock, Bolz, Collins, Durst, Hagedorn,
Henbest, Jaquet, Kren, Labrador, Marriott, Moyle, Nonini, Raybould,
Ring, Ringo, Roberts, Ruchti, Schaefer, Shively, Smith(30),
Snodgrass, Trail, Vander Woude, Wood(35), Mr. Speaker
Absent and excused -- None
Floor Sponsor - Smith(24)
Title apvd - to Senate
03/23 To enrol
03/26 Rpt enrol - Pres signed - Sp signed - To Governor
03/30 Governor VETOED
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-ninth Legislature First Regular Session - 2007
IN THE SENATE
SENATE BILL NO. 1153
BY JUDICIARY AND RULES COMMITTEE
1 AN ACT
2 RELATING TO THE SMALL LAWSUIT RESOLUTION ACT; AMENDING SECTION 7-1503, IDAHO
3 CODE, TO INCREASE THE AMOUNT OF TOTAL CLAIMS FOR DAMAGES FOR ACTIONS SUB-
4 JECT TO THE SMALL LAWSUIT RESOLUTION ACT; AND AMENDING SECTION 7-1509,
5 IDAHO CODE, TO INCREASE THE MAXIMUM AMOUNT OF TOTAL DAMAGES ALLOWABLE PUR-
6 SUANT TO AN EVALUATOR'S DECISION AND TO REFERENCE THE INCREASED AMOUNT IN
7 PROVISIONS RELATING TO TRIAL COURT ACTIONS.
8 Be It Enacted by the Legislature of the State of Idaho:
9 SECTION 1. That Section 7-1503, Idaho Code, be, and the same is hereby
10 amended to read as follows:
11 7-1503. ACTIONS TO WHICH THE IDAHO CIVIL EVALUATION OPTION APPLIES --
12 INITIATION OF PROCESS -- OPTION TO MEDIATE -- MOTIONS FOR REMOVAL FROM EVALUA-
13 TION. (1) Civil actions in which the sole relief sought is a money judgment in
14 which the parties agree that the total claims for all damages sought by a
15 party do not exceed twenty-five fifty thousand dollars ($250,000) shall be
16 subject to the provisions of this chapter. This chapter shall not apply to
17 appeals from the magistrates division, disputes subject to arbitration under
18 chapter 9, title 7, Idaho Code, proceedings in the small claims division of
19 the district court, cases seeking a punitive damages award, or cases in which
20 this chapter has been previously invoked.
21 (2) The provisions of this chapter may be initiated by any party by the
22 filing of a notice with the court. The notice shall be filed at least one hun-
23 dred fifty (150) days prior to a scheduled trial but, without the consent of
24 all parties, may not be filed within forty-five (45) days following the ser-
25 vice of a complaint. For actions pending in the magistrates division, however,
26 notice shall be filed at least one hundred (100) days prior to a scheduled
27 trial but, without consent of all the parties, may not be filed within thirty
28 (30) days following the service of a complaint. The trial court shall retain
29 jurisdiction over a case proceeding under this chapter and the case shall
30 remain on the court's active calendar.
31 (3) The parties shall confer after the filing of the notice to determine
32 if they wish to undertake evaluation or mediation. If they agree to mediate,
33 the parties may agree upon a mediator or utilize as mediator an individual
34 selected pursuant to the evaluator selection provisions of this chapter. If a
35 mediation has been conducted under this chapter, and the mediation has not
36 resulted in the settlement of all claims, within fourteen (14) days following
37 such mediation, the parties shall file a notice with the clerk of the court
38 that a mediation has been completed, that all claims have not been settled and
39 specifying the claims which remain.
40 (4) If the parties are not able to agree whether to undertake a mediation
41 or an evaluation under this chapter, a party has seven (7) days after the fil-
42 ing of the notice of the initiation of the provisions of this chapter to file
43 a motion seeking the court to order which form of alternative dispute resolu-
2
1 tion will be used. The moving party has a right to a hearing pursuant to the
2 Idaho rules of civil procedure. In making its determination on the motion, the
3 court shall consider, among other factors it deems relevant, the nature of the
4 claim(s) and the defense(s), the prior experience, if any, of the parties or
5 their counsel with mediation or evaluation, in this or other cases, the poten-
6 tial likelihood that the facts alleged in a claim, if proven, will lead to
7 liability of one party to another, and the complexity of the case. If the
8 court does not determine that mediation is a preferable means of alternative
9 dispute resolution for the particular case, it shall order the parties to
10 conduct an evaluation under the provisions of this chapter. However, if the
11 court determines that neither mediation nor evaluation is appropriate in the
12 case, it may order that the case proceed to trial in accordance with the Idaho
13 rules of civil procedure.
14 (5) Any party may move the court for removal from the evaluation at any
15 stage for good cause including, but not limited to, a substantial change in
16 circumstances or a reasonable potential for the moving party to later seek
17 amendment to its pleadings to allow that party to pursue punitive damages,
18 making the evaluation option an inappropriate method to obtain resolution of
19 the particular dispute.
20 SECTION 2. That Section 7-1509, Idaho Code, be, and the same is hereby
21 amended to read as follows:
22 7-1509. EVALUATION DECISION -- TRIAL DE NOVO -- MISCELLANEOUS. (1) Within
23 fourteen (14) days following the evaluation, the evaluator shall issue a writ-
24 ten, signed decision. The evaluator shall determine all issues raised by the
25 pleadings, including a determination of any damages. The evaluator shall
26 apply the applicable law as it exists; however, neither findings of fact nor
27 conclusions of law shall be required. The decision shall be served on the par-
28 ties. The evaluator shall file a notice of issuance of the evaluator's deci-
29 sion with the clerk of the court, together with proof of service of the notice
30 and the decision on the parties. The decision shall not be filed with the
31 clerk of the court. The evaluator's decision shall not exceed twenty-five
32 fifty thousand dollars ($250,000) in total damages to a party. The evaluator's
33 decision shall not include exemplary or punitive damages. An evaluator may, in
34 addition, award costs and attorney's fees under the terms of an applicable
35 contract. All other costs and attorney's fees to which a party is entitled by
36 statute or court rule shall be awarded by the court.
37 (2) Within twenty-one (21) days after the notice of issuance of the
38 evaluator's decision has been filed with the clerk of the court, any party
39 may file with the clerk a request for a trial de novo in the district court on
40 all issues of law and fact.
41 (3) The trial de novo shall proceed as if the evaluation had not
42 occurred. No reference to the evaluation or to the amount of the evaluation
43 decision shall be made to the trial court or the jury during any part of the
44 trial de novo. Discovery taken and recorded statements made during the evalua-
45 tion process may be used at the trial de novo as provided in the Idaho rules
46 of civil procedure and the Idaho rules of evidence; however, no reference
47 shall be made to the fact that any statement was made in an evaluation pro-
48 ceeding. Any dollar amount sought, demanded or awarded during the evaluation,
49 including the parties' agreement that for the purposes of the evaluation the
50 claim is limited to twenty-five fifty thousand dollars ($250,000), shall be
51 treated as an offer of compromise pursuant to the Idaho rules of evidence and
52 shall not be admissible at trial. Any examination made pursuant to the provi-
53 sions of section 7-1507(1)(c), Idaho Code, shall be subject to rule 35 of the
3
1 Idaho rules of civil procedure. Any violation of the provisions of this sub-
2 section by a party or its attorney shall be subject to appropriate sanctions
3 by the trial court.
4 (4) The relief sought at trial shall not be limited by the evaluation;
5 provided however, that judgment for damages of more than twenty-five fifty
6 thousand dollars ($250,000), exclusive of costs and fees, may not be entered
7 for a party who has agreed that its claim does not exceed twenty-five fifty
8 thousand dollars ($250,000) for the purposes of initiating alternative dispute
9 resolution under this chapter and shall be reduced by the court unless the
10 claimant establishes the applicability of the factors of rule 60 of the Idaho
11 rules of civil procedure. An evaluator may not be called as a witness at the
12 trial de novo.
13 (5) The trial court shall assess costs, reasonable attorney's fees, and
14 the entire amount of the evaluator's fee against a party who requests a trial
15 de novo and fails to improve its position at the trial de novo by at least
16 fifteen percent (15%). For purposes of this subsection, "costs and reasonable
17 attorney's fees" means all attorney's fees and costs as provided for by stat-
18 ute or court rule incurred after the filing of a request for a trial de novo.
19 In addition, the court shall award all other expert witness fees and expenses
20 in excess of those permitted by statute or rule if the court finds that they
21 were reasonably incurred.
22 (6) Within twenty-one (21) days following the filing of the request for
23 trial de novo, a party may serve upon the other party(ies) a written offer of
24 compromise. If an offer of compromise is not accepted by the other party(ies)
25 within fourteen (14) days after service thereof, the amount used for determin-
26 ing whether the party requesting the trial de novo has improved its position
27 shall be the amount of the offer of compromise. Neither the evaluator's deci-
28 sion nor the offer of compromise shall be submitted to the trial court until
29 the verdict or judgment has been rendered in the trial de novo.
30 (7) The trial court may assess some or all costs and reasonable attor-
31 ney's fees against a party who withdraws its request for a trial de novo where
32 the withdrawal is not in conjunction with the acceptance of an offer of com-
33 promise.
34 (8) If no request for trial de novo has been filed at the expiration of
35 twenty-one (21) days following the filing of the evaluator's notice of deci-
36 sion, a judgment may be presented to the court by any party accompanied by a
37 copy of the evaluator's decision. If the judgment is in conformity with the
38 evaluator's decision it shall be entered and shall have the same force and
39 effect as any other judgment in a civil action but shall not be subject to
40 appellate review and may only be set aside pursuant to the provisions of rule
41 60 of the Idaho rules of civil procedure. An accepted offer of compromise may
42 also be presented to the court to be converted to a judgment.
43 (9) Except as provided in subsection (5) of this section, the provisions
44 of this chapter do not affect or preclude the application of any other statute
45 or rule regarding fees or costs including, but not limited to, those in title
46 7 or 12, Idaho Code, section 41-1839, Idaho Code, or the Idaho rules of civil
47 procedure. Awards of damages and of attorney's fees and costs, when made to
48 opposing parties, shall be set off against one another and judgment shall be
49 entered for the net amount to the party(ies) entitled thereto.
50 (10) An evaluator may obtain a judgment for his fees and costs in the
51 pending litigation against any party that refuses to pay its share. Judgment
52 shall be obtained by motion to the trial court which shall only be granted
53 after the party failing to pay has had the opportunity to be heard and object.
REPRINT REPRINT REPRINT REPRINT REPRINT
STATEMENT OF PURPOSE
RS 16631
The Small Lawsuit Resolution Act began as an experiment with a
sunset provision. Last year the legislature acted to remove the
sunset provision. There is much speculation regarding the
success of the experiment. It is true the SLRA has not produced
the volume of data, positive or negative, the legislature may
have expected. It is also true the parameters of any experiment
dictate the result, data and eventual success or failure. Legal
practitioners have indicated their inability to use the statute
because the claimed amount is too small. Increasing the amount
to $50,000 will increase the usage of the SLRA. Increasing the
usage of the SLRA will save court time and expedite solutions.
FISCAL NOTE
There is no negative impact to the General Fund.
Contact
Name: Sen. Tim Corder
Phone: 332-1336
STATEMENT OF PURPOSE/FISCAL NOTE S 1153