Text: HSB00508                          Text: HSB00510
Text: HSB00500 - HSB00599               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

House Study Bill 509

Bill Text

PAG LIN
  1  1    Section 1.  Section 654A.11, subsection 3, paragraph b,
  1  2 Code 1997, is amended to read as follows:
  1  3    b.  The mediator shall issue a mediation release unless the
  1  4 creditor fails to personally attend and participate in at
  1  5 least one all mediation meeting meetings.  The mediator shall
  1  6 issue a mediation release if the borrower waives or fails to
  1  7 personally attend and participate in at least one all
  1  8 mediation meeting meetings, regardless of participation by the
  1  9 creditor.  The creditor or borrower may be represented by
  1 10 another person, if the person participates in mediation and
  1 11 has authority to discuss the debt on behalf of the creditor or
  1 12 borrower. However, if a creditor or borrower is not a natural
  1 13 person, the creditor or borrower must be represented by a
  1 14 natural person who is an officer, director, employee, partner,
  1 15 trustee, or executor of the creditor or borrower.  If the
  1 16 creditor or borrower or a representative is not able to attend
  1 17 and participate as required in this paragraph, due to physical
  1 18 infirmity, mental infirmity, or other exigent circumstances
  1 19 determined reasonable by the farm mediation service, the
  1 20 creditor or borrower must be represented by another natural
  1 21 person.  Any representative of the creditor or borrower must
  1 22 be authorized to sign instruments required under this chapter,
  1 23 including a mediation agreement or a statement prepared by the
  1 24 mediator that mediation was waived.  This section does not
  1 25 require the creditor or borrower to reach an agreement,
  1 26 including restructuring a debt, in order to receive a
  1 27 mediation release.
  1 28    Sec. 2.  Section 654B.1, subsection 5, Code 1997, is
  1 29 amended to read as follows:
  1 30    5.  "Farm resident" means a person holding an interest in
  1 31 farmland, in fee, under a real estate contract, or under a
  1 32 lease, if the person manages farming operations on the land.
  1 33 A farm resident includes a natural person, or any corporation,
  1 34 trust, or limited liability company, partnership, limited
  1 35 partnership, as defined in section 9H.1 or limited liability
  2  1 partnership organized under state law.
  2  2    Sec. 3.  Section 654B.4, subsection 3, Code 1997, is
  2  3 amended to read as follows:
  2  4    3.  At the meeting, a party to the dispute participating in
  2  5 mediation may be represented by counsel or appear with a
  2  6 consultant to assist the party in mediation.
  2  7    Sec. 4.  Section 654B.8, subsection 2, paragraph a, Code
  2  8 1997, is amended to read as follows:
  2  9    a.  The mediator shall issue a mediation release unless the
  2 10 other party desiring to initiate a civil proceeding to resolve
  2 11 the dispute fails to personally attend and participate in at
  2 12 least one all mediation meeting meetings.  The mediator shall
  2 13 issue a mediation release if the farm resident waives or fails
  2 14 to personally attend and participate in at least one all
  2 15 mediation meeting meetings, regardless of participation by the
  2 16 other party.  A party to a dispute may be represented by
  2 17 another person, if the person participates in mediation and
  2 18 has authority to discuss the dispute on behalf of the party
  2 19 being represented.  However, if the other party or the farm
  2 20 resident is not a natural person, the other party or farm
  2 21 resident must be represented by a natural person who is an
  2 22 officer, director, employee, partner, trustee, or executor of
  2 23 the other party or farm resident.  If the other party or farm
  2 24 resident, or a representative is not able to attend and
  2 25 participate as required in this paragraph, due to physical
  2 26 infirmity, mental infirmity, or other exigent circumstances
  2 27 determined reasonable by the farm mediation service, the other
  2 28 party or farm resident must be represented by another natural
  2 29 person.  Any representative of the other party or the farm
  2 30 resident must be authorized to sign instruments required under
  2 31 this chapter, including a mediation agreement or a statement
  2 32 prepared by the mediator that mediation was waived.  This
  2 33 section does not require a party to reach an agreement.  This
  2 34 section does not require a person to change a position, alter
  2 35 an activity which is a subject of the dispute, or restructure
  3  1 a contract in order to receive a mediation release.
  3  2    Sec. 5.  Section 654C.5, subsection 2, Code 1997, is
  3  3 amended to read as follows:
  3  4    2.  The parties agreeing to mediation shall personally
  3  5 attend and participate in at least one all mediation meeting
  3  6 meetings.  A party to a dispute may be represented by another
  3  7 person, if the person participates in mediation and has
  3  8 authority to discuss the dispute on behalf of the party being
  3  9 represented.  However, if a party is not a natural person, the
  3 10 party must be represented by a natural person who is an
  3 11 officer, director, employee, partner, trustee, or executor of
  3 12 the party.  If the party or a representative is not able to
  3 13 attend and participate as required in this subsection, due to
  3 14 physical infirmity, mental infirmity, or other exigent
  3 15 circumstances determined reasonable by the farm mediation
  3 16 service, the party must be represented by another natural
  3 17 person.  Any representative of a party must be authorized to
  3 18 sign instruments required under this chapter, including a
  3 19 mediation agreement or a statement prepared by the mediator
  3 20 that mediation was waived.  This section does not require a
  3 21 party to reach an agreement.  This section does not require a
  3 22 person to change a position, alter an activity which is a
  3 23 subject of the dispute, alter an application for a permit for
  3 24 construction of an animal feeding operation, or restructure a
  3 25 contract.  
  3 26                           EXPLANATION
  3 27    This bill amends Iowa Code chapters 654A, 654B, and 654C,
  3 28 which provide for mediation affecting agricultural producers.
  3 29 Iowa Code chapter 654A requires mediation between farmers who
  3 30 are borrowers and creditors prior to the enforcement of a
  3 31 legal action to collect the debt.  Iowa Code chapter 654B
  3 32 requires mediation in disputes involving farmers who provide
  3 33 care and feeding to livestock under contract.  Iowa Code
  3 34 chapter 654C allows for mediation between producers and
  3 35 neighbors negotiating to allow the construction of animal
  4  1 feeding operation structures closer than otherwise legally
  4  2 required to the neighbor's property.
  4  3    The bill requires greater participation by the parties
  4  4 attending the mediation meetings.  It provides for the types
  4  5 of corporate entities that must be involved as parties to a
  4  6 mediation.  It requires personal participation by the parties
  4  7 subject to mediation.  If the party is a corporate entity,
  4  8 attendance and participation is required by an officer,
  4  9 director, employee, partner, trustee, or executor of the
  4 10 party.  Another representative may attend if a party cannot
  4 11 otherwise be represented.  Any representative must be able to
  4 12 execute documents required under the chapter including a
  4 13 mediation agreement or waiver.
  4 14    Current law requires participation at only one mediation
  4 15 meeting, by a party or a party's representative.  The bill is
  4 16 partly in response to the case, Arends v. Iowa Select Farms,
  4 17 556 N.W.2d 812, in which the Iowa supreme court held that
  4 18 mediation requirements were satisfied when an attorney for one
  4 19 party attended and participated in a mediation meeting, even
  4 20 though the attorney did not have the authority to enter into
  4 21 an agreement on behalf of the party.  
  4 22 LSB 3037HC 77
  4 23 da/jl/8.1
     

Text: HSB00508                          Text: HSB00510
Text: HSB00500 - HSB00599               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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