[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2459 Introduced in Senate (IS)]

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116th CONGRESS
  1st Session
                                S. 2459

     To amend title 9, United States Code, to prohibit predispute 
   arbitration agreements that force arbitration of certain disputes 
          arising from claims of servicemembers and veterans.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                               __________

 Ms. Murkowski (for herself, Mr. Reed, and Mr. Graham) introduced the 
 following bill; which was read twice and referred to the Committee on 
                           Veterans' Affairs

_______________________________________________________________________

                                 A BILL


 
     To amend title 9, United States Code, to prohibit predispute 
   arbitration agreements that force arbitration of certain disputes 
          arising from claims of servicemembers and veterans.

    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 ``Justice for Servicemembers Act''.

SEC. 2. PURPOSES.

    The purposes of this Act are--
            (1) to prohibit predispute arbitration agreements that 
        force arbitration of disputes arising from claims brought under 
        chapter 43 of title 38, United States Code, and the 
        Servicemembers Civil Relief Act (50 U.S.C. 3901 et seq.); and
            (2) to prohibit agreements and practices that interfere 
        with the right of persons to participate in a joint, class, or 
        collective action related to disputes arising from claims 
        brought under the provisions of the laws described in paragraph 
        (1).

SEC. 3. ARBITRATION OF DISPUTES INVOLVING THE RIGHTS OF SERVICEMEMBERS 
              AND VETERANS.

    (a) In General.--Title 9, United States Code, is amended by adding 
at the end the following:

     ``CHAPTER 4--ARBITRATION OF SERVICEMEMBER AND VETERAN DISPUTES

``Sec.
``401. Definitions.
``402. No validity or enforceability.
``Sec. 401. Definitions
    ``In this chapter--
            ``(1) the term `predispute arbitration agreement' means an 
        agreement to arbitrate a dispute that has not yet arisen at the 
        time of the making of the agreement; and
            ``(2) the term `predispute joint-action waiver' means an 
        agreement, whether or not part of a predispute arbitration 
        agreement, that would prohibit, or waive the right of, one of 
        the parties to the agreement to participate in a joint, class, 
        or collective action in a judicial, arbitral, administrative, 
        or other forum, concerning a dispute that has not yet arisen at 
        the time of the making of the agreement.
``Sec. 402. No validity or enforceability
    ``(a) In General.--Notwithstanding any other provision of this 
title, no predispute arbitration agreement or predispute joint-action 
waiver shall be valid or enforceable with respect to a dispute relating 
to disputes arising under chapter 43 of title 38 or the Servicemembers 
Civil Relief Act (50 U.S.C. 3901 et seq.).
    ``(b) Applicability.--
            ``(1) In general.--An issue as to whether this chapter 
        applies with respect to a dispute shall be determined under 
        Federal law. The applicability of this chapter to an agreement 
        to arbitrate and the validity and enforceability of an 
        agreement to which this chapter applies shall be determined by 
        a court, rather than an arbitrator, irrespective of whether the 
        party resisting arbitration challenges the arbitration 
        agreement specifically or in conjunction with other terms of 
        the contract containing such agreement, and irrespective of 
        whether the agreement purports to delegate such determinations 
        to an arbitrator.
            ``(2) Collective bargaining agreements.--Nothing in this 
        chapter shall apply to any arbitration provision in a contract 
        between an employer and a labor organization or between labor 
        organizations, except that no such arbitration provision shall 
        have the effect of waiving the right of a worker to seek 
        judicial enforcement of a right arising under a provision of 
        the Constitution of the United States, a State constitution, or 
        a Federal or State statute, or public policy arising 
        therefrom.''.
    (b) Technical and Conforming Amendments.--
            (1) In general.--Title 9 of the United States Code is 
        amended--
                    (A) in section 1 by striking ``of seamen,'' and all 
                that follows through ``interstate commerce'' and 
                inserting ``persons and causes of action under chapter 
                43 of title 38 or the Servicemembers Civil Relief Act 
                (50 U.S.C. 3901 et seq.)'';
                    (B) in section 2 by inserting ``or as otherwise 
                provided in chapter 4'' before the period at the end;
                    (C) in section 208--
                            (i) in the section heading, by striking 
                        ``Chapter 1; residual application'' and 
                        inserting ``Application''; and
                            (ii) by adding at the end the following: 
                        ``This chapter applies to the extent that this 
                        chapter is not in conflict with chapter 4.''; 
                        and
                    (D) in section 307--
                            (i) in the section heading, by striking 
                        ``Chapter 1; residual application'' and 
                        inserting ``Application''; and
                            (ii) by adding at the end the following: 
                        ``This chapter applies to the extent that this 
                        chapter is not in conflict with chapter 4.''.
            (2) Table of sections.--
                    (A) Chapter 2.--The table of sections for chapter 2 
                of title 9, United States Code, is amended by striking 
                the item relating to section 208 and inserting the 
                following:

``208. Application.''.
                    (B) Chapter 3.--The table of sections for chapter 3 
                of title 9, United States Code, is amended by striking 
                the item relating to section 307 and inserting the 
                following:

``307. Application.''.
            (3) Table of chapters.--The table of chapters of title 9, 
        United States Code, is amended by adding at the end the 
        following:

``4. Arbitration of servicemember and veteran disputes......     401''.

SEC. 4. LIMITATION ON WAIVER OF RIGHTS AND PROTECTIONS UNDER 
              SERVICEMEMBERS CIVIL RELIEF ACT.

    (a) Amendments.--Section 107(a) of the Servicemembers Civil Relief 
Act (50 U.S.C. 3918(a)) is amended--
            (1) in the second sentence, by inserting ``and if it is 
        made after a specific dispute has arisen and the dispute is 
        identified in the waiver'' before the period at the end; and
            (2) in the third sentence by inserting ``and if it is made 
        after a specific dispute has arisen and the dispute is 
        identified in the waiver'' before the period at the end.
    (b) Application of Amendments.--The amendments made by subsection 
(a) shall apply with respect to waivers made on or after the date of 
the enactment of this Act.

SEC. 5. APPLICABILITY.

    This Act, and the amendments made by this Act, shall apply with 
respect to any dispute or claim that arises or accrues on or after the 
date of enactment of this Act.
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