05/15/2003 07:53 AM Senate L&C

             HB  83-REVISED UNIFORM ARBITRATION ACT                                                                         
                                                                                                                                
CHAIR CON BUNDE announced HB 83 to be up for consideration.                                                                     
                                                                                                                                
MS. LISA  WEISSLER, staff  to Representative  Berkowitz, sponsor,                                                               
gave members an overview of what  the bill does. First, it is the                                                               
Revised Uniform  Arbitration Act. She explained  that arbitration                                                               
is a voluntary  process that people agree to in  a contract. It's                                                               
an  alternative  to resolving  disputes  in  the courts  that  is                                                               
hopefully  speedier and  more economical.  The  original Act  was                                                               
developed in 1955. These acts  are normally developed by national                                                               
committees and  then states  can choose whether  or not  to adopt                                                               
them.  Alaska did  adopt  the Uniform  Arbitration  Act in  1968,                                                               
which  addressed some  of  the basics  of  arbitration. Over  the                                                               
years, arbitration  has become very  popular and deals  with more                                                               
complex issues; more money is involved.  So an effort was made by                                                               
the National  Conference of Commissioners  on Uniform  State Laws                                                               
to   update   the   National   Uniform   Arbitration   Act.   The                                                               
Commissioners came  up with the  Revised Uniform Act in  2000 and                                                               
so far five  states have adopted it. It has  been introduced this                                                               
year  by 12  more states,  including Alaska.  The revised  act is                                                               
much more  comprehensive and  updates the  basic coverage  of the                                                               
Uniform Act.  It addresses many  issues that were  not originally                                                               
covered. She continued:                                                                                                         
                                                                                                                                
     It's a  very complicated looking piece  of legislation,                                                                    
     but,  in  the legal  world,  it  actually makes  things                                                                    
     simpler for  those folks who decide  to do arbitration.                                                                    
     Many  of  the provisions  can  be  waived so  it's  not                                                                    
     something  set  in stone  and,  from  what I've  heard,                                                                    
     people  who do  this type  of thing  think it's  a good                                                                    
     thing.                                                                                                                     
                                                                                                                                
SENATOR SEEKINS  asked, for the  record, if anything in  the bill                                                               
requires  any  form of  arbitration  or  whether it  is  entirely                                                               
voluntary on both parties.                                                                                                      
                                                                                                                                
MS. WEISSLER  replied that  it is  voluntary and has  to be  in a                                                               
contract signed by both parties.                                                                                                
                                                                                                                                
SENATOR  SEEKINS asked  if there  is anything  in this  bill that                                                               
would vary from the Uniform Act  or whether it is tailored to any                                                               
other issue particular to the state of Alaska.                                                                                  
                                                                                                                                
MS. WEISSLER answered  that a couple of  provisions were included                                                               
in response  to a  concern of  the Department  of Law  that labor                                                               
agreements  not be  subject to  these  rules unless  specifically                                                               
agreed to.                                                                                                                      
                                                                                                                                
MR.  GRANT  CALLOW,  Attorney  and  Alaska  Commissioner  to  the                                                               
National  Conference  of  Commissioners on  Uniform  State  Laws,                                                               
concurred with Ms. Weissler's answer.                                                                                           
                                                                                                                                
SENATOR SEEKINS  moved to pass  CSHB 83(JUD) from  committee with                                                               
its zero  fiscal note and individual  recommendations. There were                                                               
no objections and it was so ordered.