Legislation Authorizing International Arbitration in the State Moves to the Governor's Desk

July 09, 2018
(SACRAMENTO, CA)  - Legislation to allow commercial arbitration proceedings in California, Senate Bill (SB) 766 authored by Senator Bill Monning (D-Carmel), has moved to the Governor’s desk.
 
“The selection of a venue in international commercial arbitrations is highly competitive and frequently depends on how hospitable the proposed venue is viewed by international parties and their lawyers,” Senator Monning said.  “California is at a disadvantage because there is no explicit authorization for this legal process and SB 766 will address this impediment.”
 
SB 766 allows an attorney who is licensed out of state or in a foreign jurisdiction to provide legal services in California in a commercial arbitration proceeding or in a related proceeding, provided certain conditions are met.  
 
California Chief Justice Tani G. Cantil-Sakauye formed the “Supreme Court International Commercial Arbitration Working Group” to review and recommend whether out-of-state and foreign attorneys should be authorized to represent parties in international commercial arbitrations held in California.  In April 2017, the Working Group issued a report recommending that foreign and out-of-state attorneys be permitted to represent parties in international commercial arbitrations held in California, based on an American Bar Association model rule.  
 
SB 766 embodies this recommendation.
 
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