Ducey inks SB 1406 to curb ‘drive-by’ litigation

In an effort to abolish “drive-by” lawsuits prevalent throughout the Valley in 2016, Arizona Gov. Doug Ducey recently signed legislation designed to hinder "unnecessary" complaints stemming from alleged parking violations.

Grievances revolved around infringements of the Arizona Disability Act, the state’s version of the Americans with Disabilities Act (ADA), and involved a multitude of lawsuits filed against Valley enterprises claiming violations that resulted in thousands of dollars in settlement payments by business owners. Specifically, those violations involved parking-lot signage and spaces and were regarded as minor infractions.

Senate Bill 1406 defeats the motives of “shakedown” litigation threats, fabricated by individuals or groups for the purpose of extortion. It also establishes a period of time referred to as “notice-and-cure” for the purpose of extending a grace period to business owners in order to allow them sufficient time — 30 days — to comply with requests legally.

Additionally, the law clarifies status of involved parties by providing what constitutes an “aggrieved person;” and finally, it forbids lawsuits against business websites.

Ducey signed the law one day after the Arizona Legislature passed it. 

Mesa Chamber of Commerce president and CEO Sally Harrison expressed great satisfaction with the legislative outcome.

“This is a fantastic win for the business community and the disability community,” Harrison said in a press release. “The bill encourages compliance and prevents unnecessary lawsuits.”

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