Arbitration Transparency Act of 2017

Arbitration Transparency Act of 2017

This bill specifies that an arbitration proceeding between a consumer and a financial institution, in a dispute involving a consumer financial product or service, must be open to the public.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 832 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 832

To amend title 9 of the United States Code to require that arbitration 
 proceedings in certain disputes involving consumer financial products 
                  and services be open to the public.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            February 2, 2017

 Mr. Capuano introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
To amend title 9 of the United States Code to require that arbitration 
 proceedings in certain disputes involving consumer financial products 
                  and services be open to the public.

    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 Transparency Act of 
2017''.

SEC. 2. AMENDMENTS.

    (a) Arbitration.--Title 9 of the United States Code is amended by 
inserting after section 2 the following:
``Sec. 2a. Proceedings in disputes involving certain consumer financial 
              products and services
    ``(a) Proceedings Open to the Public.--Notwithstanding any other 
provision of law and notwithstanding the terms of a contract or written 
agreement for arbitration, an arbitration proceeding under such 
contract or written agreement entered into by a consumer and a 
financial institution to arbitrate a future dispute that involves a 
consumer financial product or service shall be open to the public.
    ``(b) Definitions.--For purposes of this section:
            ``(1) Consumer.--The term `consumer' has the meaning given 
        such term in section 1002 of the Consumer Financial Protection 
        Act of 2010.
            ``(2) Consumer financial product or service.--The term 
        `consumer financial product or service' has the meaning given 
        such term in section 1002 of the Consumer Financial Protection 
        Act of 2010.
            ``(3) Financial institution.--The term `financial 
        institution' has the meaning given such term in section 5312 of 
        title 31.''.
    (b) Conforming Amendment.--Chapter 1 of title 9 of the United 
States Code is amended in the table of sections by inserting after the 
item relating to section 2 the following:

``2a. Proceedings in disputes involving certain consumer financial 
                            products and services.''.

SEC. 3. EFFECTIVE DATE; APPLICATION OF AMENDMENT.

    (a) Effective Date.--Except as provided in subsection (b), this Act 
and the amendment made by this Act shall take effect on the date of the 
enactment of this Act.
    (b) Application of Amendment.--The amendment made by this Act shall 
apply with respect to--
            (1) contracts and written agreements that are entered into 
        before, on, or after the date of the enactment of this Act, and
            (2) arbitration proceedings that occur on or after such 
        date.
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