August 17, 2018

Colorado Supreme Court: Arbitration Agreement Need Only Substantially Comply with Statutory Notice Requirements

The Colorado Supreme Court issued its opinion in Colorow Health Care, LLC v. Fischer on Monday, June 11, 2018.

Health Care Availability Act—Statutory Construction—Alternative Dispute Resolution.

C.R.S. § 13-64-403 of the Health Care Availability Act governs arbitration agreements between patients and healthcare providers. Under C.R.S. § 13-64-403(4), such agreements must contain a certain notice to patients to help ensure that they enter the agreements voluntarily, and the notice must be emphasized by at least 10-point font and bold-faced type. The agreement here contained the notice in 12-point font, but it was not bold-faced. The court of appeals determined the statute requires strict compliance and that the agreement therefore failed for lack of bold-faced type.

The supreme court held that C.R.S. § 13-64-403 requires only substantial compliance. The court further concluded the agreement here substantially complied with the formatting requirements of C.R.S. § 13-64-403, notwithstanding its lack of bold-faced type. Accordingly, the court reversed the court of appeals’ judgment and remanded the case for further proceedings consistent with the opinion.

Summary provided courtesy of Colorado Lawyer.