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Second Regular Session
Sixty-first General Assembly
LLS NO. 980360.01 PLC
HOUSE BILL 981122
STATE OF COLORADO
BY REPRESENTATIVE Hagedorn;
also SENATOR Mutzebaugh.
STATE, VETERANS & MILITARY
A BILL FOR AN ACT
CONCERNING MANDATORY ARBITRATION OF BODILY INJURY
CLAIMS THAT ARISE OUT OF THE OPERATION OF A MOTOR VEHICLE.
(Note: This summary applies to this bill as introduced
and does not necessarily reflect any amendments that may be subsequently
Requires an attorney who files suit on behalf of a person injured in a motor vehicle accident to make a goodfaith certification as to whether the amount of damages sought for bodily injury is more than, equal to, or less than $25,000.
Compels claims for bodily injury of $25,000 or less
be sent to mandatory binding arbitration in accordance with the
Colorado "Uniform Arbitration Act of 1975".
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. 104714, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SUBSECTION to read:
104714. Limitation on tort actions arbitration required. (3) (a) NOTWITHSTANDING THE PROVISIONS OF SECTION 104708, IN ANY CLAIM FOR DAMAGES FOR BODILY INJURY CAUSED BY A MOTOR VEHICLE ACCIDENT, INCLUDING A DIRECT CLAIM MADE AGAINST AN ALLEGED TORTFEASOR AND A CLAIM MADE AGAINST AN INSURER FOR UNINSURED OR UNDERINSURED MOTORIST BENEFITS, AN ATTORNEY FOR A PLAINTIFF SHALL INCLUDE IN THE COMPLAINT A GOODFAITH CERTIFICATION ON THE QUESTION OF WHETHER THE AMOUNT OF DAMAGES SOUGHT TO COMPENSATE FOR PLAINTIFF'S BODILY INJURY IS MORE THAN, EQUAL TO, OR LESS THAN TWENTYFIVE THOUSAND DOLLARS. IF THE AMOUNT OF SUCH DAMAGES ENUMERATED IN THE CERTIFICATION IS EQUAL TO OR LESS THAN TWENTYFIVE THOUSAND DOLLARS, THE COURT SHALL REFER THE CLAIM TO MANDATORY BINDING ARBITRATION FOR RESOLUTION IN ACCORDANCE WITH PART 2 OF ARTICLE 22 OF TITLE 13, C.R.S.
(b) FAILURE TO INCLUDE THE GOODFAITH CERTIFICATION REQUIRED BY PARAGRAPH (a) OF THIS SUBSECTION (3) SHALL RESULT IN THE DISMISSAL OF THE COMPLAINT WITHOUT PREJUDICE.
SECTION 2. 1322204 (1), Colorado Revised Statutes, is amended to read:
1322204. Proceedings to
compel or stay arbitration. (1) On
application of a party showing an agreement described in section
1322203 and the opposing party's refusal to arbitrate,
OR UPON A CERTIFICATION PURSUANT TO SECTION 104714
(3), C.R.S., THAT THE AMOUNT OF DAMAGES SOUGHT TO COMPENSATE FOR
PLAINTIFF'S BODILY INJURY CAUSED BY A MOTOR VEHICLE ACCIDENT IS
EQUAL TO OR LESS THAN TWENTYFIVE THOUSAND DOLLARS, the court
shall order the parties to proceed with arbitration.
IN CASES WHERE AN AGREEMENT TO ARBITRATE IS ALLEGED, if the opposing
party denies the existence of the agreement to arbitrate, the
court shall proceed summarily to the determination of the issue
so raised and shall order arbitration if found for the moving
party; otherwise, the application shall be denied.
SECTION 3. Effective date applicability. This act shall take effect July 1, 1998, and shall apply to claims for damages for bodily injury caused by a motor vehicle accident filed on or after said date.
SECTION 4. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.