[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 3557 Introduced in Senate (IS)]

112th CONGRESS
  2d Session
                                S. 3557

 To amend the Higher Education Act of 1965 to prohibit institutions of 
 higher education that participate in programs under title IV of such 
  Act from including predispute arbitration agreements in enrollment 
                               contracts.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 19, 2012

  Mr. Franken (for himself, Mr. Harkin, Mr. Sanders, Mr. Durbin, Mr. 
 Begich, Mr. Leahy, Mr. Blumenthal, and Mr. Whitehouse) introduced the 
 following bill; which was read twice and referred to the Committee on 
                 Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
 To amend the Higher Education Act of 1965 to prohibit institutions of 
 higher education that participate in programs under title IV of such 
  Act from including predispute arbitration agreements in enrollment 
                               contracts.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Arbitration Fairness for Students 
Act''.

SEC. 2. PROHIBITION OF PREDISPUTE ARBITRATION AGREEMENTS.

    Section 487(a) of the Higher Education Act of 1965 (20 U.S.C. 
1094(a)) is amended by adding at the end the following:
            ``(30) The institution shall not include a predispute 
        arbitration agreement in contracts with students for enrollment 
        at the institution. In this paragraph, the term `predispute 
        arbitration agreement' means any agreement to arbitrate a 
        dispute that had not yet arisen at the time of the making of 
        the agreement.''.
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