THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY ERICKSON, WONDERLING, KASUNIC, STACK, ALLOWAY, WASHINGTON AND COSTA, JUNE 5, 2009

REFERRED TO JUDICIARY, JUNE 5, 2009  

AN ACT

Amending Title 42 (Judiciary and Judicial Procedure) of the

Pennsylvania Consolidated Statutes, in arbitration, further

providing for validity of agreement to arbitrate, for common

law arbitration and for compulsory arbitration.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Sections 7303 and 7341 of Title 42 of the

Pennsylvania Consolidated Statutes are amended to read:

§ 7303.  Validity of agreement to arbitrate.

(a)  General rule.--A written agreement to subject any

existing controversy to arbitration or a provision in a written

agreement to submit to arbitration any controversy thereafter

arising between the parties is valid, enforceable and

irrevocable, save upon such grounds as exist at law or in equity

relating to the validity, enforceability or revocation of any

contract.

(b)  Enforceability of predispute agreements with patients.--

No provision of a contract entered into between a patient of a

health care provider and the health care provider that provides

for arbitration, or binding alternative dispute resolution, of a

medical professional liability claim against the health care

provider shall be enforceable against the patient if the

provision of the contract was effective prior to the date on

which the damages or losses that are the basis of the medical

professional liability claim occurred.

§ 7341.  Common law arbitration.

(a)  General rule.--The award of an arbitrator in a

nonjudicial arbitration which is not subject to Subchapter A

(relating to statutory arbitration) or a similar statute

regulating nonjudicial arbitration proceedings is binding and

may not be vacated or modified unless it is clearly shown that a

party was denied a hearing or that fraud, misconduct, corruption

or other irregularity caused the rendition of an unjust,

inequitable or unconscionable award.

(b)  Enforceability of predispute agreements with patients.--

No provision of a contract entered into between a patient of a

health care provider and the health care provider that provides

for arbitration that is subject to this subchapter, or binding

alternative dispute resolution, of a medical professional

liability claim against the health care provider shall be

enforceable against the patient if the provision of the contract

was effective prior to the date on which the damages or losses

that are the basis of the medical professional liability claim

occurred.

Section 2.  Section 7361(a) of Title 42 is amended and the

section is amended by adding a subsection to read:

§ 7361.  Compulsory arbitration.

(a)  General rule.--Except as provided in [subsection (b)]

subsections (b) and (e), when prescribed by general rule or rule

of court such civil matters or issues therein as shall be

specified by rule shall first be submitted to and heard by a

board of three members of the bar of the court.

* * *

(e)  Enforceability of predispute agreements with patients.--

No provision of a contract entered into between a patient of a

health care provider and the health care provider that provides

for arbitration that is subject to this subchapter, or binding

alternative dispute resolution, of a medical professional

liability claim against the health care provider shall be

enforceable against the patient if the provision of the contract

was effective prior to the date on which the damages or losses

that are the basis of the medical professional liability claim

occurred.

Section 3.  This act shall apply to medical professional

liability claims that commence on or after the effective date of

this section.

Section 4.  This act shall take effect in 60 days.