(AP) – Arkansas lawmakers have approved a measure upholding
loan contract provisions that allow both sides to waive their rights to a jury trial, despite objections that it would strip away a constitutional right for borrowers.The House on Thursday approved by a 66-10 vote the bill, which allows the jury waiver provisions in contracts to borrow or loan money. The measure heads to Gov. Asa Hutchinson, who said he plans to sign it into law.
loan contract provisions that allow both sides to waive their rights to a jury trial, despite objections that it would strip away a constitutional right for borrowers.The House on Thursday approved by a 66-10 vote the bill, which allows the jury waiver provisions in contracts to borrow or loan money. The measure heads to Gov. Asa Hutchinson, who said he plans to sign it into law.
The bill was in response to a state Supreme Court ruling last year that said such jury waiver provisions in contracts aren’t enforceable. Supporters said both sides have to agree to the waiver, and that it would protect thousands of contracts that already have that clause.
Opponents said the provisions put borrowers at a disadvantage.
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