Connecticut 2010 Regular Session

Connecticut House Bill HB05379 Compare Versions

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1-General Assembly Substitute Bill No. 5379
2-February Session, 2010 *_____HB05379JUD___032910____*
1+General Assembly Raised Bill No. 5379
2+February Session, 2010 LCO No. 1592
3+ *01592_______JUD*
4+Referred to Committee on Judiciary
5+Introduced by:
6+(JUD)
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48 General Assembly
59
6-Substitute Bill No. 5379
10+Raised Bill No. 5379
711
812 February Session, 2010
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10-*_____HB05379JUD___032910____*
14+LCO No. 1592
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16+*01592_______JUD*
17+
18+Referred to Committee on Judiciary
19+
20+Introduced by:
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22+(JUD)
1123
1224 AN ACT CONCERNING OFFERS OF COMPROMISE IN ARBITRATION OF CONSTRUCTION CONTRACTS.
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1426 Be it enacted by the Senate and House of Representatives in General Assembly convened:
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1628 Section 1. (NEW) (Effective October 1, 2010) (a) For the purposes of this section, "construction contract" means any contract entered into on or after the effective date of this section, for construction, renovation or rehabilitation in this state, including any improvements to real property that are associated with such construction, renovation or rehabilitation, or any subcontract for construction, renovation or rehabilitation between an owner and a contractor, a contractor and a subcontractor or a subcontractor and another subcontractor.
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1830 (b) After any party to a construction contract has made a demand for arbitration pursuant to the dispute resolution provision of such contract, the claimant may, at any time before an award is rendered, apply to the court in the judicial district in which the arbitration is pending for permission to file a written offer of compromise, which offer shall be attached to the application, signed by the claimant or the claimant's attorney and directed to the respondent or the respondent's attorney, offering to settle the claim underlying the arbitration for a sum certain. The court shall grant permission to file such offer if the application and offer of compromise complies with this section. The claimant shall give notice of the offer of compromise to the respondent's attorney or, if the respondent is not represented by an attorney, to the respondent himself or herself. Within thirty days after being notified of the filing of the offer of compromise and prior to the rendering of an order confirming, vacating, modifying or correcting an award or the entering of a judgment or decree upon an award, the respondent or the respondent's attorney may file with the clerk of the court a written acceptance of the offer of compromise agreeing to settle the claim underlying the arbitration for the sum certain specified in the claimant's offer of compromise. Upon such filing and the receipt by the claimant of such sum certain, the claimant shall file a withdrawal of the arbitration with the clerk and the clerk shall record the withdrawal of the arbitration accordingly. If the offer of compromise is not accepted within thirty days and prior to the rendering of an order or the entering of a judgment or decree by the court, the offer of compromise shall be considered rejected and not subject to acceptance unless refiled. Any such offer of compromise and any acceptance of the offer of compromise shall be included by the clerk in the record of the case.
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20-(c) After arbitration and upon the application of any party to confirm, vacate or correct the award, the court shall examine the record to determine whether the claimant made an offer of compromise which the respondent failed to accept. If the court confirms the arbitration award and ascertains from the record that the claimant has recovered an arbitration award in an amount equal to or greater than the sum certain specified in the claimant's offer of compromise, the court shall add to the amount of the award eight per cent annual interest on said amount, in addition to any interest awarded by the arbitrator. The interest shall be computed from the date the arbitration commenced. The court shall award reasonable attorney's fees and shall render judgment accordingly. This section shall not be interpreted to abrogate the contractual rights of any party concerning the recovery of attorney's fees in accordance with the provisions of any written contract between the parties to the arbitration.
32+(c) After arbitration and upon the application of any party to confirm, vacate or correct the award, the court shall examine the record to determine whether the claimant made an offer of compromise which the respondent failed to accept. If the court confirms the arbitration award and ascertains from the record that the claimant has recovered an arbitration award in an amount equal to or greater than the sum certain specified in the claimant's offer of compromise, the court shall add to the amount of the award twelve per cent annual interest on said amount, in addition to any interest awarded by the arbitrator. The interest shall be computed from the date the arbitration commenced. The court shall award reasonable attorney's fees and shall render judgment accordingly. This section shall not be interpreted to abrogate the contractual rights of any party concerning the recovery of attorney's fees in accordance with the provisions of any written contract between the parties to the arbitration.
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2234 Sec. 2. Section 42-158m of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):
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2436 Any provision in a construction contract for the performance of work on a construction site located in this state that purports to require that any dispute arising under the construction contract be mediated, arbitrated or otherwise adjudicated in or under the laws of a state other than Connecticut shall be void and of no effect, regardless of whether the construction contract was executed in this state.
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2941 This act shall take effect as follows and shall amend the following sections:
3042 Section 1 October 1, 2010 New section
3143 Sec. 2 October 1, 2010 42-158m
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3345 This act shall take effect as follows and shall amend the following sections:
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3547 Section 1
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3749 October 1, 2010
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3951 New section
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4153 Sec. 2
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4355 October 1, 2010
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4557 42-158m
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59+Statement of Purpose:
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61+To authorize a claimant in an arbitration of a construction contract to file an offer of compromise.
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49-JUD Joint Favorable Subst.
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51-JUD
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53-Joint Favorable Subst.
63+[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]