Z-0629

AN ACT Relating to consumer and business dispute resolution; adding a new section to chapter 4.16 RCW; and adding a new chapter to Title 19 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. (1) The legislature finds and declares that:

(a) The attorney general through its consumer protection section receives thousands of consumer complaints each year. While many of these are resolved with existing dispute conciliation procedures, many are not and must be resolved in the courts, or left unresolved;

(b) The resolution of many disputes can be costly and complex in a judicial setting where the parties involved are necessarily in an adversary posture and subject to formalized procedures;

(c) Alternative methods of dispute resolution can meet the needs of Washington's citizens by providing forums in which persons may voluntarily participate in the resolution of disputes in an informal and less adversarial atmosphere;

(d) Many of the disputes which are not being resolved with existing conciliation procedures are likely to be resolved if the attorney general implements an alternative dispute resolution program; and

(e) Many disputes which are not presently being submitted to the attorney general or courts for resolution could be resolved using an alternative method with an informed and nonadversarial atmosphere.

(2) It is the intent of the legislature that the attorney general establish programs pursuant to this chapter in order to:

(a) Help meet the need for alternatives to the courts for the resolution of consumer disputes;

(b) Offer structures for dispute resolution which may serve as models for resolution centers in other settings;

(d) Educate the community on ways of using the services of the dispute resolution program directly and in a preventive capacity.

NEW SECTION. Sec. 2. (1) The attorney general shall establish consumer dispute resolution centers. The attorney general shall establish procedures:

(a) For consumers to file requests for dispute resolution services and for scheduling mediation sessions participated in by the parties to the dispute;

(b) To ensure that each dispute mediated meets the criteria for appropriateness for mediation set by the legislative authority and for rejecting disputes which do not meet the criteria;

(c) To give notice of the time, place, and nature of the mediation session to the parties, and for conducting mediation sessions that comply with the provisions of this chapter;

(d) Which ensure that participation by all parties is voluntary;

(e) To obtain referrals from private and other public bodies;

(f) To meet the particular needs of the participants, including, but not limited to, providing services at times convenient to the participants, in sign language, and in languages other than English;

(g) To provide trained and certified mediators who, during the dispute resolution process, shall make no decisions or determinations of the issues involved, but who shall facilitate negotiations by the participants themselves to achieve a voluntary resolution of the issues; and

(h) To inform and educate the community about the dispute resolution program and encourage the use of the program's services in appropriate cases.

(2) The attorney general shall report annually beginning January 1, 1993, to the governor, the supreme court, and the legislature regarding the operations of the centers established under this chapter.

NEW SECTION. Sec. 3. (1) The attorney general shall establish:

(a) Procedures to assure the confidentiality of information obtained during the dispute resolution process; and

(b) Procedures to identify when the dispute resolution process begins and ends.

(2) These procedures shall allow for normal handling of alleged violations of the consumer protection act and other laws.

NEW SECTION. Sec. 4. All memoranda, work notes or products, or case files of the dispute resolution process under this chapter are confidential and privileged and are not subject to disclosure in any judicial or administrative proceeding unless the court or administrative tribunal determines that the materials were submitted by a participant for the purpose of avoiding discovery of the material in a subsequent proceeding. Any communication relating to the subject matter of the resolution made during the resolution process by any participant, mediator, or any other person is a privileged communication and is not subject to disclosure in any judicial or administrative proceeding unless all parties to the communication waive the privilege. This privilege and limitation on evidentiary use does not apply to any communication of a threat that injury or damage may be inflicted on any person or on the property of a party to the dispute, to the extent the communication may be relevant evidence in a criminal matter.

NEW SECTION. Sec. 5. A person who voluntarily enters a dispute resolution process established under this chapter may withdraw from dispute resolution and seek judicial or administrative redress. No legal penalty, sanction, or restraint may be imposed upon the person.

NEW SECTION. Sec. 6. This chapter may be known and cited as the consumer and business dispute resolution act.

NEW SECTION. Sec. 7. A new section is added to chapter 4.16 RCW to read as follows:

Any applicable statute of limitations shall be tolled as to participants in dispute resolution established under chapter 19.-- RCW (sections 1 through 6 of this act) during the period of the dispute resolution process.

NEW SECTION. Sec. 8. Sections 1 through 6 of this act shall constitute a new chapter in Title 19 RCW.