Arbitration & Mediation

Florida International Arbitration Bill Awaits Governor's Signature

By Christopher B. Hopkins, Esq.

The Daily Business Review single-handedly broke a front page story (Florida Would Adopt U.N. Arbitration Model) regarding the state's likely adoption of model international arbitration rules which, based upon a Google News search, no other media outlet has addressed.

The Florida Legislature passed SB 1114 and companion HB821 which replaces the Florida International Arbitration Act (FIAA) with the Florida International Commercial Arbitration Act (FICAA). The latter is premised upon model rules used in over 60 countries and a half dozen U.S. states (developed by U.N. Commission on International Trade Law or UNCITRAL). In short, the law repeals current Chapter 684 with a new version.

The effect on "everyday" arbitrations? None, since the FIAA and FICAA only apply to international disputes.

The effect on state law arbitration code or the FAA? Likely none, given there is nominal to no pre-emption in this area of the law and, anecdotally, there are practically no appellate decisions relating to the current FIAA (case in point, see the detailed but inactive Miami International Arbitration Society blog -- which presumably will kick up with activity soon.

The overall effect? Potential that Florida could be a hub for international arbitration since the rules are harmonized with already existing standards AND we have the weather and hotels to make dispute resolution a bit more comfortable experience.

The bill was supported by the Florida Bar, Florida Chamber of Commerce, and others. Attorney Burton Landy of Akerman Senterfitt, who was credited in the DBR article with writing some of Florida's current international arbitration laws twenty years ago, testified in support of the change.

For detailed analysis of the 50-section soon-to-be law, which would be effective July 1, 2010, see the judiciary committee staff analysis, here.

Full post as published by Florida Arbitration Law on April 29, 2010 (boomark / email).