Bill Text: AZ SB1367 | 2019 | Fifty-fourth Legislature 1st Regular | Engrossed


Bill Title: Class action settlements; attorney general

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2019-05-27 - Senate final reading FAILED, voting: (13-15-2-0) [SB1367 Detail]

Download: Arizona-2019-SB1367-Engrossed.html

 

 

 

House Engrossed Senate Bill

 

 

 

 

State of Arizona

Senate

Fifty-fourth Legislature

First Regular Session

2019

 

 

 

SENATE BILL 1367

 

 

 

AN ACT

 

amending section 44-1521, Arizona Revised Statutes; amending title 44, chapter 10, article 7, Arizona Revised Statutes, by adding section 44‑1535; relating to class action settlements.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 44-1521, Arizona Revised Statutes, is amended to read:

START_STATUTE44-1521.  Definitions

In this article, unless the context otherwise requires:

1.  "Advertisement" includes the attempt by publication, dissemination, solicitation or circulation, oral or written, to induce directly or indirectly any person to enter into any obligation or acquire any title or interest in any merchandise.

2.  "Attorney general" means the attorney general of Arizona or the attorney general's authorized delegate.

3.  "Authorized delegate" means any attorney, investigator or administrative personnel employed by the attorney general and so designated, and, if requested by the county attorney and authorized by the attorney general, may include similar personnel employed by the several county attorneys of this state.

4.  "Class action":

(a)  Means any civil action filed in the superior court of this state under rule 23 of the Arizona rules of civil procedure or in a district court of the united states under rule 23 of the federal rules of civil procedure or any civil action that is removed to a district court of the united states that was originally filed under a state statute or rule of judicial procedure authorizing an action to be brought by one or more representatives as a class action.

(b)  Includes civil actions alleging any theory of recovery, not just recovery under this article.

5.  "class members" means the persons, named or unnamed, who fall within a proposed or certified class.

4.  6.  "Examine" means the inspection, study or copying of any account, book, document, merchandise, paper or record.

5.  7.  "Merchandise" means any objects, wares, goods, commodities, intangibles, real estate or services, including direct primary care provider plans as defined in section 20‑123.

6.  8.  "Person" means any natural person or the person's legal representative, partnership, domestic or foreign corporation, any company, trust, business entity, or association, any agent, employee, salesman, partner, officer, director, member, stockholder, associate or trustee.

9.  "Proposed consumer class action settlement" means an agreement relating to a class action that is subject to court approval and that, if approved, is binding on some or all class members.

7.  10.  "Sale" means any sale, offer for sale or attempt to sell any merchandise for any consideration, including sales, leases and rentals of any real estate subject to any form of deed restriction imposed as part of a previous sale. END_STATUTE

Sec. 2.  Title 44, chapter 10, article 7, Arizona Revised Statutes, is amended by adding section 44-1535, to read:

START_STATUTE44-1535.  Consumer class action protections

A.  The attorney general shall protect residents of this state from consumer class action settlement abuse and is statutorily authorized to protect this state's interest in preventing consumer class action settlement abuse.

B.  When the attorney general believes that a proposed consumer class action settlement does not provide fair, reasonable and adequate restitution or other relief for class members, or unlawfully or unfairly compensates class counsel or named class members over unnamed class members, the attorney general may file a motion to intervene in the consumer class action proceedings in the name of this state to represent the interests of this state and class members in this state by seeking an order that rejects or amends the proposed consumer class action settlement.  The attorney general may file a motion to intervene regardless of whether a class member in this state has objected.  by intervening under this subsection the attorney general is serving the interests of this state and all class members in this state which is consistent with the attorney general's role under this article.

C.  Inaction by the attorney general in connection with a particular consumer class action settlement does not affect the rights of this state or the attorney general's ability to act under this article or other law, including the ability to bring a case under this article or other law and seeking all available relief. END_STATUTE

Sec. 3.  Legislative intent

The legislature finds that this state has an interest in protecting residents of this state from consumer class action settlement abuse.

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