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House passes medical malpractice bill allowing negotiated arbitration with opt‑out and six‑year sunset
Summary
The House passed Senate Bill 138, which allows individual physicians and patients to negotiate binding arbitration agreements as an option (not mandatory), includes a 30‑day opt‑out and a six‑year sunset, and excludes emergency department care; proponents framed the bill as a compromise to address rising malpractice costs.
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The Utah House on March 5 approved Senate Bill 138, a negotiated compromise between the medical and legal communities that permits physicians and patients to enter into binding arbitration agreements in non‑emergency settings.
Sponsor Representative Dayton framed the bill as a response to rising medical malpractice costs that are affecting the availability of some specialties. "Obstetricians, in this state need to deliver over 60 babies to be able to pay for their medical malpractice," Dayton said on the floor, arguing the bill provides an option that may reduce insurance burdens and preserve services.
Several representatives pressed the sponsor on patient protections. Representative Farron asked whether a provider could deny care solely because a patient refused to enter arbitration; Dayton replied that the bill does not create a universal requirement and that emergency department care at general acute hospitals is excluded. Dayton also emphasized that arbitration agreements would be negotiated and explained in advance and include a 30‑day opt‑out period so a patient could rescind after signing.
Representative Christiansen and others queried how the bill’s repeal of an existing statutory protection (78‑14‑17) would operate; Dayton acknowledged the measure includes a six‑year sunset and described the bill as an experiment to see whether negotiated arbitration can reduce malpractice pressures.
The House voted to pass SB138; the Clerk read a final tally of 63 yes votes and 11 no votes. The bill will be returned to the Senate for the president’s signature.
What happens next: SB138 will return to the Senate for signature; the measure contains a six‑year sunset and a 30‑day opt‑out for arbitration, and sponsors said emergency department care is excluded from arbitration provisions.
