Rocky Mountain Surety Association

2018 Bill Tracker

HB20-1046 Private Construction Contract Payment Requirements 
Comment:
Position:
Calendar Notification: NOT ON CALENDAR
Sponsors: D. Valdez (D) / J. Gonzales (D)
Summary:

In a construction contract of at least $150,000, the bill requires:

  • A property owner to make partial payments to the contractor of any amount due under the contract at the end of each calendar month or as soon as practicable after the end of the month;
  • A property owner to pay the contractor at least 95% of the value of satisfactorily completed work;
  • A property owner to pay the withheld percentage within 60 days after the contract is completed satisfactorily;
  • A contractor to pay a subcontractor for work performed under a subcontract within 30 calendar days after receiving payment for the work, not including a withheld percentage not to exceed 5%;
  • A subcontractor to pay any supplier, subcontractor, or laborer who provided goods, materials, labor, or equipment to the subcontractor within 30 calendar days after receiving payment under the subcontract; and
  • A subcontractor to submit to the contractor a list of the suppliers, sub-subcontractors, and laborers who provided goods, materials, labor, or equipment to the subcontractor for the work.

The bill does not apply to contracts with public entities or to a contract concerning one multi-family dwelling of no more than 4 units or one single-family dwelling. A person who fails to make a required payment must pay 1.5% interest per month until the debt is fully paid. In a lawsuit to enforce the bill, the prevailing party is awarded attorney fees and costs.


(Note: This summary applies to this bill as introduced.)

Status: 1/8/2020 Introduced In House - Assigned to Business Affairs & Labor
1/28/2020 House Committee on Business Affairs & Labor Witness Testimony and/or Committee Discussion Only
2/18/2020 House Committee on Business Affairs & Labor Postpone Indefinitely

HB20-1290 Failure-to-cooperate Defense First-party Insurance 
Comment:
Position:
Calendar Notification: NOT ON CALENDAR
Sponsors: A. Garnett (D) / S. Fenberg (D)
Summary:

The bill bars an insurer from using a failure-to-cooperate defense in an action unless:

  • The insurer has submitted a written request to the insured or the insured's representative for information the insurer deems necessary for litigation for the information ;
  • The information necessary for litigation is not available to the insurer without the assistance of the insured;
  • The request provides the insured 60 days to respond;
  • The request is for information the insurer would be entitled to in litigation; The written request is for information a reasonable person would determine the insurer needs to adjust the claim filed by the insured or to prevent fraud; and
  • The request cites the specific policy language that entitles the insurer to the information necessary to any lawsuit;
  • The insured's failure to cooperate has rendered performance by the insurer under the policy impossible; and
  • The insurer gives the insured an opportunity to cure within 60 days and provides notice to the insured within 30 60 days, describing, with particularity, the alleged failure to cooperate.

The alleged failure to cooperate must materially and substantially prejudice the portion of the claim for which the defense is asserted. A failure to cooperate defense acts as a defense to the portion of the claim that is materially and substantially prejudiced to the extent the insurer could not evaluate or pay that portion of the claim. Any language in an insurance contract that conflicts with the bill is void. If an insurer is giving the insured the time to respond or cure under the bill, the insurer cannot be held liable for failing to pay the claim in a timely manner.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)


(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Status: 2/7/2020 Introduced In House - Assigned to Judiciary
3/10/2020 House Committee on Judiciary Refer Amended to House Committee of the Whole
3/13/2020 House Second Reading Laid Over Daily - No Amendments
3/14/2020 House Second Reading Laid Over to 03/30/2020 - No Amendments
5/28/2020 House Second Reading Laid Over to 06/01/2020 - No Amendments
6/1/2020 House Second Reading Passed with Amendments - Committee
6/2/2020 House Third Reading Laid Over Daily - No Amendments
6/5/2020 House Third Reading Passed with Amendments - Floor
6/6/2020 Introduced In Senate - Assigned to State, Veterans, & Military Affairs
6/8/2020 Senate Committee on State, Veterans, & Military Affairs Refer Unamended to Senate Committee of the Whole
6/9/2020 Senate Second Reading Special Order - Passed - No Amendments
6/10/2020 Senate Third Reading Passed - No Amendments
6/10/2020 Senate Third Reading Reconsidered - No Amendments
6/29/2020 Sent to the Governor
6/29/2020 Signed by the President of the Senate
6/29/2020 Signed by the Speaker of the House
7/2/2020 Governor Signed

SB20-093 Consumer And Employee Dispute Resolution Fairness 
Comment:
Position:
Calendar Notification: NOT ON CALENDAR
Sponsors: M. Foote (D) | S. Fenberg (D) / D. Jackson (D) | M. Weissman (D)
Summary:

The bill enacts the "Consumer and Employee Dispute Resolution Fairness Act" (act). For certain consumer and employment arbitrations, the act:

  • Prohibits the waiver of standards for and challenges for evident partiality prior to a claim being filed and requires any waiver of such provisions after the claim is filed to be in writing;
  • Provides that the right of a party to challenge an arbitrator based on evident partiality is waived if not raised within a reasonable time of learning of the information leading to the challenge but that such right is not waived if caused by the opposing party;
  • Authorizes the nonobjecting party to seek provisional remedies from court if a party objects to an arbitrator and the parties are not able to agree on an arbitrator;
  • Establishes ethical standards for arbitrators; and
  • Requires specified public disclosures by arbitration services providers to the parties but includes protections for certain confidential information.

The bill also requires an individual arbitrator for certain consumer and employment arbitrations to make additional disclosures of information that might affect the arbitrator's impartiality.

The bill specifies how attorney fees and other reasonable expenses are to be awarded if a court vacates an award because of an arbitrator's evident partiality or failure to make required disclosures. and clarifies when appeals of orders may be made in consumer and employee arbitrations.

The bill also provides that for a standard form contract involving a consumer or an employee:

  • Specified terms are unenforceable as against public policy; and
  • Including an unenforceable term constitutes a deceptive trade practice under the "Colorado Consumer Protection Act"; and
  • How certain cost-shifting provisions are to be interpreted.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)


(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Status: 1/13/2020 Introduced In Senate - Assigned to Judiciary
1/29/2020 Senate Committee on Judiciary Refer Amended to Senate Committee of the Whole
2/3/2020 Senate Second Reading Laid Over Daily - No Amendments
2/6/2020 Senate Second Reading Passed with Amendments - Committee, Floor
2/7/2020 Senate Third Reading Laid Over Daily - No Amendments
3/5/2020 Senate Third Reading Laid Over to 03/09/2020 - No Amendments
3/9/2020 Senate Third Reading Passed with Amendments - Floor
5/27/2020 Introduced In House - Assigned to Finance
6/4/2020 House Committee on Finance Postpone Indefinitely