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HB2135 • 2026

liability; diversity; equity; inclusion laws

HB2135 - liability; diversity; equity; inclusion laws

Housing Labor
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Michael Way
Last action
2026-03-03
Official status
Senate second read
Effective date
Not listed

Plain English Breakdown

The bill summary does not specify exact fiscal impacts or interactions with existing laws.

Liability for Violations of Diversity, Equity and Inclusion Policies

This bill allows individuals to sue organizations in Arizona that violate state or federal laws against certain diversity, equity, and inclusion policies.

What This Bill Does

  • Allows a person whose rights are violated by an organization's prohibited diversity, equity, and inclusion policy to file a lawsuit.
  • Provides legal remedies for those who win the lawsuit, including at least $100,000 in damages, court costs, and reasonable attorney fees.
  • Defines 'covered entity' as any corporation, organization, institution or agency in Arizona that is subject to laws against diversity, equity, and inclusion policies.
  • Lists specific concepts considered part of a prohibited diversity, equity, and inclusion policy, such as the idea that one race or sex is inherently superior to another.
  • Requires lawsuits to be filed within three years after the violation occurred.

Who It Names or Affects

  • Individuals who believe their rights have been violated by an organization's diversity, equity, and inclusion policies.
  • Organizations in Arizona that are subject to state or federal laws prohibiting certain types of diversity, equity, and inclusion policies.

Terms To Know

Covered entity
A corporation, organization, institution, or agency in Arizona that is subject to laws against diversity, equity, and inclusion policies.
Diversity, Equity and Inclusion Policy (DEI)
A policy known as DEI, critical race theory, anti-racism, or any other form of race or sex stereotyping or scapegoating that is prohibited under this law.

Limits and Unknowns

  • The bill does not specify the exact fiscal impact on the state General Fund.
  • It is unclear how existing employment and housing discrimination laws will interact with these new provisions.
  • The effective date of the legislation has not been specified.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: NM 2/4/2026 (602) 926-3848 ARIZONA HOUSE OF REPRESENTATIVES FLOOR AMENDMENT EXPLANATION 57th Legislature, 2nd Regular Session Majority Research Staff HB 2135: liability; diversity; equity; inclusion laws WAY FLOOR AMENDMENT 1.

  • NM 2/4/2026 (602) 926-3848 ARIZONA HOUSE OF REPRESENTATIVES FLOOR AMENDMENT EXPLANATION 57th Legislature, 2nd Regular Session Majority Research Staff HB 2135: liability; diversity; equity; inclusion laws WAY FLOOR AMENDMENT 1.
  • Removes the emergency clause from the bill.
  • Fifty-seventh Legislature Way Second Regular Session H.B.
  • 2135 WAY FLOOR AMENDMENT HOUSE OF REPRESENTATIVES AMENDMENTS TO H.B.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Bill History

  1. 2026-03-03 Senate

    Senate second read

  2. 2026-03-02 Senate

    Senate Rules: None

  3. 2026-03-02 Senate

    Senate Regulatory Affairs and Government Efficiency: None

  4. 2026-03-02 Senate

    Senate first read

  5. 2026-02-23 Senate

    Transmitted to Senate

  6. 2026-02-23 House

    House third read passed

  7. 2026-02-05 House

    House committee of the whole

  8. 2026-02-03 House

    House minority caucus

  9. 2026-02-03 House

    House majority caucus

  10. 2026-02-02 House

    House consent calendar

  11. 2026-01-13 House

    House second read

  12. 2026-01-12 House

    House Rules: C&P

  13. 2026-01-12 House

    House Judiciary: DP

  14. 2026-01-12 House

    House first read

Official Summary Text

HB2135 - 572R - Senate Fact Sheet

Assigned to
JUDE������������������������������������������������������������������������������������������������������������������ FOR
COMMITTEE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

FACT SHEET FOR
H.B. 2135

liability; diversity;
equity; inclusion laws

Purpose

Allows a person
whose rights are violated to commence a civil action against a covered entity
that violates a state or federal law prohibiting a diversity, equity and
inclusion policy.

Background

The State of
Arizona may not grant preferential treatment to, or discriminate against, any
individual or group on the basis of race, sex, color, ethnicity or national
origin in the operation of public employment, public education or public
contracting (
Ariz.
Const. art. 2 � 36
)

Employment
discrimination is prohibited on the basis of race, color, religion, sex, age,
disability or national origin. It is unlawful for an employer to fail or refuse
to hire, discharge or otherwise discriminate against an individual with respect
to compensation, terms, conditions or privileges of employment because of those
protected characteristics. Discrimination in places of public accommodation on
the basis of race, color, religion, sex, national origin or ancestry is also
prohibited, as is discrimination in the sale or rental of housing because of
race, color, religion, sex, disability, familial status or national origin
(A.R.S. ��
41-1442
;

41-1463
;
and
41-1491.14
).

The state and any of its political subdivisions thereof are
prohibited
from using public monies for training, orientation or therapy
that presents blame or judgement on the basis of race, ethnicity or sex, and
prohibits public employees from being required to engage in such training (
A.R.S.
� 41-1494
).

There is no
anticipated fiscal impact to the state General Fund associated with this
legislation.

Provisions

1.

Allows a person whose rights are violated to commence a civil action
against a covered entity that violates a state or federal law prohibiting a
diversity, equity and inclusion policy.

2.

Entitles
a person who prevails against a covered entity to the following relief:

a)

declaratory relief;

b)

injunctive relief;

c)

damages in the amount of at least $100,000 against the covered entity;

d)

compensatory damages; and

e)

court
costs and reasonable attorney fees.

3.

Requires a person to commence a civil action no later than three years
after the violation occurred.

4.

Defines
covered entity
as a corporation, organization,
institution or agency in Arizona that is subject to a state or federal law
prohibiting a diversity, equity and inclusion policy.

5.

Defines

diversity, equity and inclusion policy
as a policy that is known and
practiced as DEI, critical race theory or anti-racism and includes any other
form of race or sex stereotyping, any form of race or sex scapegoating or any
of the following concepts:

a)

one race or sex is inherently superior to another race or sex;

b)

�the United States is fundamentally racist or sexist;

c)

an individual, by virtue of the individual's race or sex, is inherently
racist, sexist or oppressive, whether consciously or unconsciously;

d)

an individual should be discriminated against or receive adverse
treatment solely or partly because of the individual's race or sex;

e)

a member of one race or sex cannot and should not attempt to treat
others without respect due to race or sex;

f)

an individual, by virtue of the individual's race or sex, bears
responsibility for acts committed in the past by other members of the same race
or sex;

g)

an individual should feel discomfort, guilt or anguish or any other form
of psychological distress because of the individual's race or sex;

h)

meritocracy or traits such as hard work ethic are racist or sexist or
were created by a particular race to oppress another race; or

i)

all
individuals should be compelled to believe in, and to speak in a manner
consistent with, the concept that an individual can change the individual's sex
or gender.

6.

Becomes effective on the general effective date.

House Action

JUD���������������� 1/28/26����� DP������ 6-2-0-1

3
rd
Read��������� 2/23/26����������������� 32-25-3

Prepared by Senate Research

March 2, 2026

ZD/MY/ci

Current Bill Text

Read the full stored bill text
HB2135 - 572R - H Ver

House Engrossed

liability; diversity;
equity; inclusion laws

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HOUSE BILL 2135

AN
ACT

amending title 12, chapter 6, Arizona
Revised Statutes, by adding article 20; relating to civil liability.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 12, chapter 6, Arizona Revised
Statutes, is amended by adding article 20, to read:

ARTICLE 20. PROHIBITED
DIVERSITY, EQUITY AND INCLUSION POLICIES

START_STATUTE
12-784.

Prohibition on diversity, equity and inclusion policies; civil
liability; statute of limitations; definitions

A. A person whose rights are violated
may commence a civil action against a covered entity that violates a state or
federal law prohibiting a diversity, equity and inclusion policy.

B. A person who prevails against a
covered entity is entitled to the following relief:

1. Declaratory relief.

2. Injunctive relief.

3. Damages in the amount of at least
$100,000 against the covered entity.

4. Compensatory damages.

5. Court costs and reasonable
attorney fees.

C. A person shall commence a civil
action pursuant to this section not later than three years after the violation
occurred.

D. For the purposes of this section:

1. "Covered entity" means a
corporation, organization, institution or agency in this state that is subject
to a state or federal law prohibiting a diversity, equity and inclusion policy.

2. "Diversity, equity and
inclusion policy":

(
a
) Means a
policy that is known and practiced as DEI, critical race theory or anti-racism
or any of the following concepts:

(
i
) One race or
sex is inherently superior to another race or sex.

(
ii
) The United
States is fundamentally racist or sexist.

(
iii
) An
individual, by virtue of the individual's race or sex, is inherently racist,
sexist or oppressive, whether consciously or unconsciously.

(
iv
) An
individual should be discriminated against or receive adverse treatment solely
or partly because of the individual's race or sex.

(
v
) A member of
one race or sex cannot and should not attempt to treat others without respect
due to race or sex.

(
vi
) An
individual's moral character is necessarily determined by the individual's race
or sex.

(
vii
) An
individual, by virtue of the individual's race or sex, bears responsibility for
acts committed in the past by other members of the same race or sex.

(
viii
) An
individual should feel discomfort, guilt or anguish or any other form of
psychological distress because of the individual's race or sex.

(
ix
) Meritocracy
or traits such as a hard work ethic are racist or sexist or were created by a
particular race to oppress another race.

(
x
) All
individuals should be compelled to believe in, and to speak in a manner
consistent with, the concept that an individual can change the individual's sex
or gender.

(
b
) Includes
any other form of race or sex stereotyping or any other form of race or sex
scapegoating.
END_STATUTE