Civil action and mediation

  1. Law
  2. Arkansas Code
  3. Public Utilities and Regulated Industries
  4. Miscellaneous Regulated Industries
  5. Arkansas Motor Vehicle Commission Act
  6. Recreational Vehicle Franchise Act
  7. Civil action and mediation

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  1. (a)

    1. (1) A dealer, manufacturer, distributor, or warrantor injured by another party's violation of this subchapter may bring a civil action in circuit court to recover actual damages.

    2. (2) The court shall award attorney's fees and costs to the prevailing party in such an action.

  2. (b)

    1. (1) Venue for a civil action under this section is in the county in which the dealer's business is located.

    2. (2) In an action involving more than one (1) dealer, venue may be in any county in which any dealer that is party to the action is located.

  3. (c)

    1. (1) Before bringing suit under this section, the party bringing suit for an alleged violation shall serve a written demand for mediation upon the offending party.

    2. (2) The demand for mediation shall:

      1. (A) Be served upon the other party via certified mail at the address stated within the dealer agreement between the parties; and

      2. (B) Contain a brief statement of the dispute and the relief sought by the party filing the demand.

    3. (3)

      1. (A) Within twenty (20) days after the date on which a demand for mediation is served, the parties shall:

        1. (i) Mutually select an independent certified mediator; and

        2. (ii) Meet with the mediator to attempt to resolve the dispute.

      2. (B) The meeting place shall be in this state in a location selected by the mediator.

      3. (C) The mediator may extend the date of the meeting for good cause shown by either party or upon stipulation of both parties.

    4. (4)

      1. (A) The service of a demand for mediation under this section tolls the time for the filing of a complaint, petition, protest, or other action under this subchapter until representatives of both parties have met with a mutually selected mediator to attempt to resolve the dispute.

      2. (B) If a complaint, petition, protest, or other action is filed before that meeting, the court:

        1. (i) Shall enter an order suspending the proceeding or action until the mediation meeting has occurred; and

        2. (ii) Upon written stipulation of all parties to the proceeding or action that they wish to continue to mediate under this section, may enter an order suspending the proceeding or action for as long as the court considers appropriate.

    5. (5) The parties to the mediation shall:

      1. (A) Bear their own costs for attorney's fees; and

      2. (B) Divide equally the cost of the mediator.


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