Assigned to JUD FOR COMMITTEE ARIZONA STATE SENATE Fifty-Fifth Legislature, Second Regular Session FACT SHEET FOR S.B. 1541 unjustified action; political action; costs Purpose Establishes additional requirements for determining if a political action brought in the superior court is unjustified. Background In any civil action commenced or appealed in a court of record, the court must assess reasonable attorney fees, expenses and, at the court's discretion, double damages of not to exceed $5,000 against an attorney or party if the attorney or party: 1) brings or defends a claim without substantial justification; 2) brings or defends a claim solely or primarily for delay or harassment; 3) unreasonably expands or delays the proceeding; or 4) engages in abuse of discovery. The court may allocate the payment of attorney fees among the offending parties, jointly or severally, and may assess separate amounts against an offending attorney or party (A.R.S. ยง 12-349). There is no anticipated fiscal impact to the state General Fund associated with this legislation. Provisions 1. Stipulates, when determining if an attorney or party has brought or defended a claim without substantial evidence, that speech or conduct that is protected by the Arizona or U.S. Constitution may not be used to infer that a claim or defense is not made in good faith. 2. Requires a motion for attorney fees, expenses or damages in an unjustified political action filed in the superior court to be reviewed by a judge who is not deciding the merits of the underlying action. 3. Requires each element used to determine if an action is unjustified to be proven by clear and convincing evidence. 4. Requires, if a motion is denied, the moving party or the attorney to pay the fees, expenses and damages incurred by the prevailing party and attorney in defending the motion. 5. Requires all underlying findings to be reviewed de novo if the motion is granted and appealed. 6. Defines political action as a claim of defense that involves ballot access, a political campaign, an election, legislative proceedings or an alleged violation of the Arizona or U.S. Constitution. 7. Contains a severability clause. FACT SHEET S.B. 1541 Page 2 8. Contains a legislative intent clause. 9. Makes technical and confirming changes. 10. Becomes effective on the general effective date. Prepared by Senate Research February 15, 2022 ZD/sr