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Committee approves RS 31944 to keep Idaho projects subject to Idaho law
Summary
RS 31944 would bar choice-of-law and jurisdiction clauses that require contractors on Idaho projects to litigate or arbitrate in another state; the committee voted to send the draft to print.
Senator Todd Lakey presented RS 31944, a proposal to prevent contracts for construction projects in Idaho from requiring that disputes be governed by the laws or courts of another state. The Senate Commerce and Human Resources Committee voted to send the draft to print.
Lakey said the change would give contractors a statutory backstop, ensuring that projects performed in Idaho are governed by Idaho law and jurisdiction. "What this does it gives that contractor a backstop to say I'm sorry state law requires that if I'm building a project here in Idaho I'm subject to Idaho law and Idaho jurisdiction," Lakey said.
A senator moved and seconded that RS 31944 be approved for print; the motion carried with no recorded opposition.
The committee's action advances the draft to the next stage of legislative processing; sponsor comments focused on protecting local contractors from contract clauses that shift disputes to other states for litigation or arbitration.
