2023 Legislative Update

The Arkansas Bar Association is your advocate at the State Capitol, and because of your help and support we had an extremely successful 2023 legislative session. The Regular Session of the 94th General Assembly convened on Monday, January 9, 2023, with a new Governor at the helm, a new President Pro Tempore of the Senate, 13 new members of the Senate and 27 new members of the House of Representatives. Legislators filed 1,439 bills this session and newly elected Governor Sarah Sanders signed 889 into law.

The Association worked full time to monitor every piece of legislation affecting the administration of justice and the legal profession. The Association could not have had a successful session without the help and support of the Legislation Committee, chaired by George Rozzell. This year’s Legislation Committee consisted of David Bingham, Taylor Chaney, Margaret Dobson, Glen Hoggard, Karen K. Hutchins, Scott Irby, Anton Janik, Joe Kolb, Alan Lane, Cliff McKinney, Kristin Pawlik, Ray Slaton, and Aaron Squyres. This committee reviewed every bill filed and every amendment made and worked tirelessly throughout the session to protect the practice of law and the administration of justice. This committee met every Friday throughout the legislative session to protect the practice of law and the legal profession. The Legislation Committee supported four bills, opposed two bills, and opposed one constitutional amendment.

The Legislation Committee could not have done it without the backing of the entire membership. The committee sent nearly 600 bills to over 30 different sections within the Association for input, consideration, and comment. Many thanks to all the members who reviewed bills, provided comments, and testified on behalf of the Association.

The Arkansas Bar Association’s Legislative Package

One of the primary priorities of the Association is to assist in the enactment of laws and improve the legal system in Arkansas. The Association’s 2023 legislative package included four proposals. Each proposal was submitted by the Jurisprudence and Law Reform Committee and approved by the Board of Trustees. Three of the four proposals were passed and signed into law.

The proposal amending the Uniform Commercial Code was withdrawn by the sponsors with agreement by the Association.

Uniform Easement Relocation Act

The Uniform Easement Relocation Act, HB1408, now Act 505, was sponsored by Representative Matt Brown and Senator Clarke Tucker. The Uniform Easement Relocation Act allows the owner of real estate burdened by an easement to obtain a court order to relocate the easement if the relocation does not materially impair the utility of the easement to the easement holder, or the physical condition, use, or value of the benefited property. The burdened property owner must file a civil action, give other potentially affected realproperty interest owners notice, and bear all the costs of relocation.

Uniform Community Property Disposition at Death Act

The Uniform Community Property Disposition at Death Act (UCPDDA), HB1409, now Act 582, was also sponsored by Representative Matt Brown and Senator Clarke Tucker. This act is an update of a 1971 act that applied only to probate proceedings. The UCPDDA addresses nonprobate transfers of community property and provides clear default rules to ensure the proper disposition of community property from any estate, in any jurisdiction. Arkansas remains a noncommunity property state.

Uniform Commercial Code

The 2022 amendments to the Uniform Commercial Code, HB1588, was sponsored by Representative Stephen Meeks and Senator Jonathan Dismang. The 2022 amendments to the Uniform Commercial Code address emerging technologies, providing updated rules for commercial transactions involving virtual currencies, distributed ledger technologies (including blockchain), artificial intelligence, and other technological developments. The amendments span almost every article of the UCC and add a new Article 12 addressing certain types of digital assets defined as “Controllable Electronic Records” (CERs). After receiving pushback nationwide, the sponsors withdrew HB1588 for further consideration. The Jurisprudence and Law Reform Committee will consider adding it back to the legislative package for the 2025 legislative session.

An Act Concerning the Prepared Schedule of Property

HB1666, now Act 740, an act concerning the prepared schedule of property ordered when a judgment calls for property subject to execution, was sponsored by Representative Jimmy Gazaway. HB1666 was necessary because, as previously written, and as held in the Arkansas Court of Appeals in Hauser v. Sims, 2012 Ark. App. 295, 423 S.W.3d 104, Ark. Code Ann. § 16-66-221(a) was only applicable to Arkansas residents and was not enforceable against out-of-state persons or corporations. Before the passage of HB1666, the statute and appeals court decision placed Arkansas persons and small businesses at a disadvantage when trying to collect on a monetary judgment against a non-Arkansas resident individual or corporation.

Legislative Resources

The next Regular Session of the General Assembly will convene in January 2025. Members, sections, and committees of the Association are encouraged to participate in the development of the Association’s legislative package. Proposed legislation should be submitted in bill form and address issues concerning matters of jurisprudence and procedure, including reforms of the substantive law, and improvement in practice and in administration of the courts. Proposed legislation must be submitted by January 31, 2024. The Association’s bylaws charge the Jurisprudence and Law Reform Committee with reviewing the proposals and reporting their findings to the Board of Trustees. The Association’s package for the 2025 Session of the Arkansas General Assembly will be adopted at the June 2024 meeting of the Board of Trustees. Lastly, please consider becoming a supporting member of the nonpartisan political action committee. The Arkansas Bar PAC is your opportunity to be the change you wish to see. Becoming politically involved is the best way to ensure your voice is heard. ■