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SF570 • 2026

A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

Passed Legislature

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

Sponsor
COMMITTEE ON COMMERCE
Last action
2025-04-22
Official status
Committee report approving bill, renumbered as SF 639 . S.J. 860 .
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

What This Bill Does

  • A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2025-04-22 Iowa Legislature

    Committee report approving bill, renumbered as SF 639 . S.J. 860 .

  2. 2025-04-01 Iowa Legislature

    Subcommittee recommends amendment and passage.

  3. 2025-03-31 Iowa Legislature

    Subcommittee Meeting: 04/01/2025 11:00AM Room 217 Conference Room.

  4. 2025-03-17 Iowa Legislature

    Subcommittee: Bousselot, Bisignano, and Green. S.J. 552 .

  5. 2025-03-11 Iowa Legislature

    Referred to Ways and Means. S.J. 480 .

  6. 2025-03-10 Iowa Legislature

    Committee report, approving bill. S.J. 468 .

  7. 2025-03-10 Iowa Legislature

    Introduced, placed on calendar. S.J. 460 .

Official Summary Text

A bill for an act creating a specialty business court, providing fees, and including effective date and applicability provisions.(Formerly SSB 1203 ; See SF 639 .)

Current Bill Text

Read the full stored bill text
Senate

File

570

-

Introduced

SENATE

FILE

570

BY

COMMITTEE

ON

COMMERCE

(SUCCESSOR

TO

SSB

1203)

A

BILL

FOR

An

Act

creating

a

specialty

business

court,

providing

fees,

and

1

including

effective

date

and

applicability

provisions.

2

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

3

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Section

1.

NEW

SECTION

.

602.6801

Definitions.

1

As

used

in

this

part,

unless

the

context

otherwise

requires:

2

1.

“Controlling

person”

means

a

person

who

directly

or

3

indirectly

controls

a

governing

person,

officer,

or

other

4

organization.

5

2.

“Governing

documents”

means

the

instruments,

documents,

6

or

agreements

adopted

under

an

organization’s

governing

law

7

to

govern

the

organization’s

formation

and

internal

affairs.

8

“Governing

documents”

includes

any

of

the

following:

9

a.

A

certificate

of

formation,

articles

of

incorporation,

or

10

articles

of

the

organization.

11

b.

Bylaws

of

the

organization.

12

c.

A

partnership

agreement.

13

d.

A

company

agreement

or

operating

agreement.

14

e.

A

shareholder

agreement.

15

f.

A

voting

agreement

or

voting

trust

agreement.

16

g.

An

agreement

among

owners

restricting

the

transfer

of

17

ownership

interests.

18

3.

“Governing

law”

means

the

law

governing

the

formation

and

19

internal

affairs

of

an

organization.

20

4.

“Governing

person”

means

a

person

who

is

entitled,

alone

21

or

as

part

of

a

group,

to

manage

and

direct

an

organization’s

22

affairs

under

the

organization’s

governing

documents

and

23

governing

law.

“Governing

person”

includes

any

of

the

24

following:

25

a.

A

member

of

the

board

of

directors

of

a

corporation

or

26

other

organization.

27

b.

A

general

partner

of

a

general

or

limited

partnership.

28

c.

A

manager

of

a

limited

liability

company

that

is

managed

29

by

its

managers.

30

d.

A

member

of

a

limited

liability

company

that

is

managed

31

by

its

members.

32

e.

A

trust

manager

of

a

real

estate

investment

trust.

33

f.

A

trustee

of

a

business

trust.

34

5.

“Governmental

entity”

means

any

of

the

following:

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570

a.

This

state.

1

b.

A

political

subdivision

of

this

state,

including

a

2

municipality,

a

county,

or

any

kind

of

district.

3

6.

“Internal

affairs”

means

any

of

the

following:

4

a.

The

rights,

powers,

and

duties

of

an

organization’s

5

governing

persons,

officers,

owners,

and

members.

6

b.

Matters

relating

to

the

organization’s

membership

or

7

ownership

interests.

8

7.

“Managerial

official”

means

a

governing

person

or

9

officer.

10

8.

“Officer”

means

a

person

elected,

appointed,

11

or

designated

as

an

officer

of

an

organization

by

the

12

organization’s

governing

persons

or

governing

documents.

13

9.

“Organization”

means

a

foreign

or

domestic

entity

or

14

association,

regardless

of

whether

the

organization

is

for

15

profit

or

nonprofit.

“Organization”

includes

any

of

the

16

following

entities:

17

a.

A

corporation.

18

b.

A

limited

partnership.

19

c.

A

general

partnership.

20

d.

A

limited

liability

partnership.

21

e.

A

limited

liability

company.

22

f.

A

business

trust.

23

g.

A

real

estate

investment

trust.

24

h.

A

joint

venture.

25

i.

A

joint

stock

company.

26

j.

A

cooperative.

27

k.

A

bank.

28

l.

A

credit

union.

29

m.

A

savings

and

loan

association.

30

n.

An

insurance

company.

31

o.

A

series

of

a

limited

liability

company

or

of

another

32

entity.

33

10.

“Owner”

means

an

owner

of

an

organization.

“Owner”

34

includes

any

of

the

following:

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a.

A

shareholder

or

stockholder

of

a

corporation

or

other

1

organization.

2

b.

A

general

or

limited

partner

of

a

partnership

or

an

3

assignee

of

a

partnership

interest

in

a

partnership.

4

c.

A

member

of,

or

an

assignee

of

a

membership

interest

in,

5

a

limited

liability

company.

6

d.

A

member

of

a

nonprofit

organization.

7

11.

“Ownership

interest”

means

an

owner’s

interest

in

8

an

organization,

including

an

owner’s

economic,

voting,

and

9

management

rights.

10

12.

“Qualified

transaction”

means

a

transaction

under

which

11

a

party

does

one

of

the

following:

12

a.

Pays,

receives,

is

obligated

to

pay,

or

is

entitled

to

13

receive

consideration

with

an

aggregate

value

of

at

least

one

14

million

dollars.

15

b.

Lends,

advances,

borrows,

receives,

is

obligated

to

16

lend

or

advance,

or

is

entitled

to

borrow

or

receive,

money

or

17

credit

with

an

aggregate

value

of

at

least

one

million

dollars.

18

Sec.

2.

NEW

SECTION

.

602.6802

Business

court

judicial

19

district.

20

The

business

court

judicial

district

is

created

and

is

21

composed

of

all

counties

in

this

state.

22

Sec.

3.

NEW

SECTION

.

602.6803

Jurisdiction.

23

1.

Subject

to

subsections

2

and

3,

a

judge

of

the

business

24

court

created

in

section

602.6802

has

the

jurisdiction

granted

25

by

section

602.6202,

including

but

not

limited

to

the

power

to

26

do

all

of

the

following:

27

a.

Issue

writs

of

injunction,

mandamus,

sequestration,

28

attachment,

garnishment,

and

supersedeas.

29

b.

Grant

any

relief

that

may

be

granted

by

a

district

court.

30

2.

The

business

court

has

within

its

civil

jurisdiction,

31

concurrent

with

district

courts,

all

of

the

following:

32

a.

A

derivative

action

on

behalf

of

an

organization.

33

b.

An

action

arising

out

of

or

relating

to

a

qualified

34

transaction

in

which

the

amount

in

controversy

exceeds

ten

35

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million

dollars,

excluding

interest,

statutory

damages,

1

exemplary

damages,

penalties,

attorney

fees,

and

costs.

2

c.

An

action

regarding

the

governance

or

internal

affairs

3

of

an

organization.

4

d.

An

action

in

which

a

claim

under

a

state

or

federal

5

securities

or

trade

regulation

law

is

asserted

against

any

of

6

the

following:

7

(1)

An

organization.

8

(2)

A

governing

or

controlling

person

or

officer

of

an

9

organization

for

an

act

or

omission

by

the

organization

or

by

10

the

person

in

the

person’s

capacity

as

a

governing

person.

11

(3)

An

underwriter

of

securities

issued

by

the

organization

12

or

the

auditor

of

an

organization.

13

e.

An

action

by

an

organization,

or

an

owner

or

a

member

of

14

an

organization,

if

all

of

the

following

apply:

15

(1)

The

action

is

brought

against

an

owner,

managerial

16

official,

or

controlling

person

of

the

organization.

17

(2)

The

action

alleges

an

act

or

omission

by

the

person

18

in

the

person’s

capacity

as

an

owner,

managerial

official,

or

19

controlling

person

of

the

organization.

20

f.

An

action

alleging

that

an

owner,

managerial

official,

or

21

controlling

person

breached

a

duty

by

reason

of

the

person’s

22

status

as

an

owner,

managerial

official,

or

controlling

person,

23

including

the

duty

of

care,

loyalty,

or

good

faith.

24

g.

An

action

seeking

to

hold

an

owner,

member,

or

governing

25

person

of

an

organization

liable

for

an

obligation

of

the

26

organization,

other

than

on

account

of

a

written

contract

27

signed

by

the

person

to

be

held

liable

in

a

capacity

other

than

28

as

an

owner,

member,

or

governing

person.

29

h.

An

action

in

which

the

amount

in

controversy

exceeds

30

ten

million

dollars,

excluding

interest,

statutory

damages,

31

exemplary

damages,

penalties,

attorney

fees,

and

costs,

that

32

does

either

of

the

following:

33

(1)

Arises

against,

between,

or

among

organizations,

34

governing

authorities,

governing

persons,

members,

or

owners,

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relating

to

a

contract

transaction

for

business,

commercial,

1

investment,

agricultural,

or

similar

purposes.

2

(2)

Involves

violations

of

Title

XII

or

Title

XIII.

3

i.

An

action

seeking

a

declaratory

judgment

or

injunctive

4

relief

brought

under

the

Iowa

rules

of

civil

procedure

5

involving

any

of

the

following:

6

(1)

Chapter

490.

7

(2)

An

organization’s

governing

documents.

8

(3)

A

dispute

based

on

claims

that

fall

within

the

9

provisions

of

this

subsection.

10

j.

An

action

arising

out

of

provisions

in

Title

XII.

11

3.

The

business

court

does

not

have

jurisdiction

over

any

12

of

the

following:

13

a.

A

civil

action

brought

by

or

against

a

governmental

14

entity,

unless

the

governmental

entity

invokes

or

consents

to

15

the

jurisdiction

of

the

business

court.

16

b.

Any

claim

in

which

a

party

seeks

recovery

of

monetary

17

damages

for

personal

injury

or

death

or

any

claim

arising

18

under

section

714.16,

chapter

633,

or

chapter

633A,

unless

all

19

parties

and

a

judge

of

the

business

court

agree

that

the

claim

20

may

proceed

in

the

business

court.

21

Sec.

4.

NEW

SECTION

.

602.6804

Judicial

authority.

22

A

judge

of

the

business

court

has

all

powers,

duties,

23

immunities,

and

privileges

of

a

district

judge.

24

Sec.

5.

NEW

SECTION

.

602.6805

Initial

filing

——

removal

and

25

remand

——

transfer

and

dismissal.

26

1.

An

action

described

in

section

602.6803

may

be

filed

27

in

the

business

court.

If

the

business

court

does

not

have

28

subject

matter

jurisdiction

of

the

action,

or

part

of

the

29

action,

the

court

shall,

at

the

option

of

the

party

filing

the

30

action,

do

one

of

the

following:

31

a.

Transfer

the

action

or

part

of

the

action

to

an

32

appropriate

district

court.

33

b.

Dismiss

the

action

or

part

of

the

action

without

34

prejudice

to

the

party’s

rights.

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2.

If

an

action

or

part

of

an

action

is

to

be

transferred

1

under

subsection

1,

paragraph

“a”

,

and

the

action

or

part

of

the

2

action

could

have

been

filed

in

more

than

one

county,

the

party

3

filing

the

action

may

select

the

county

to

which

the

action

or

4

part

of

the

action

is

transferred.

5

3.

A

party

to

an

action

filed

in

a

district

court

that

is

6

within

the

subject

matter

jurisdiction

of

the

business

court

7

may

remove

the

action

to

the

business

court.

If

the

business

8

court

does

not

have

jurisdiction

of

the

action

or

part

of

the

9

action,

the

business

court

shall

remand

the

action,

or

part

10

of

the

action,

over

which

the

business

court

does

not

have

11

jurisdiction

to

the

district

court

from

which

the

action

was

12

removed.

13

4.

Removal

of

a

case

to

the

business

court

is

not

subject

to

14

rule

of

civil

procedure

1.441.

15

5.

Removal

of

a

case

does

not

waive

a

defect

in

venue

or

16

constitute

an

appearance

to

determine

personal

jurisdiction.

17

Sec.

6.

NEW

SECTION

.

602.6806

Appeals.

18

The

procedure

governing

an

appeal

or

original

proceeding

19

from

the

business

court

is

the

same

as

the

procedure

for

an

20

appeal

or

original

proceeding

from

a

district

court.

21

Sec.

7.

NEW

SECTION

.

602.6807

Qualifications

of

judge.

22

A

judge

of

the

business

court

must

be

all

of

the

following:

23

1.

At

least

thirty-five

years

of

age.

24

2.

A

United

States

citizen.

25

3.

A

resident

of

Iowa

for

at

least

two

years

before

26

appointment.

27

4.

A

licensed

attorney

admitted

to

practice

law

in

this

28

state

with

ten

or

more

years

of

experience

in

any,

or

a

29

combination

of

any,

of

the

following:

30

a.

Complex

civil

business

litigation.

31

b.

Business

transactions

law.

32

c.

Teaching

courses

in

complex

civil

business

litigation

or

33

complex

business

transactions

law

at

an

accredited

law

school

34

in

Iowa.

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d.

Serving

as

a

judge

of

a

court

in

this

state

with

civil

1

jurisdiction.

2

Sec.

8.

NEW

SECTION

.

602.6808

Composition

of

court.

3

1.

The

governor

shall

appoint

three

judges

meeting

the

4

qualifications

of

section

602.6807,

subject

to

confirmation

by

5

the

senate,

to

serve

on

the

business

court

for

a

two-year

term.

6

2.

A

judge

of

the

business

court

may

be

reappointed

to

7

additional

two-year

terms.

8

3.

The

governor

shall

not

appoint

judges

who

reside

in

the

9

same

county.

10

4.

A

judge

of

the

business

court

is

not

a

district

judge

or

11

district

court

judge

for

purposes

of

Article

V,

sections

16

and

12

17,

of

the

Constitution

of

the

State

of

Iowa.

13

Sec.

9.

NEW

SECTION

.

602.6809

Vacancy.

14

If

a

vacancy

occurs

on

the

business

court,

the

governor

shall

15

appoint

in

the

same

manner

as

provided

in

sections

602.6807

16

and

608.6808

another

person

to

serve

for

the

remainder

of

the

17

unexpired

term.

18

Sec.

10.

NEW

SECTION

.

602.6810

Salary.

19

A

judge

of

the

business

court

shall

receive

the

annual

salary

20

set

for

a

district

judge

under

section

602.1501.

21

Sec.

11.

NEW

SECTION

.

602.6811

Removal

——

disqualification

22

and

recusal.

23

1.

A

judge

of

the

business

court

may

be

removed

from

office

24

in

the

same

manner

and

for

the

same

reasons

as

a

district

25

judge.

26

2.

A

judge

of

the

business

court

is

disqualified

and

subject

27

to

mandatory

recusal

for

the

same

reasons

a

district

judge

28

is

subject

to

disqualification

or

recusal

in

a

pending

case.

29

Disqualification

or

recusal

of

a

judge

of

the

business

court

30

shall

be

governed

by

the

same

procedure

as

disqualification

or

31

recusal

of

a

district

judge.

32

Sec.

12.

NEW

SECTION

.

602.6812

Private

practice

of

law.

33

A

judge

of

the

business

court

shall

diligently

discharge

the

34

duties

of

the

office

on

a

full-time

basis

and

shall

not

engage

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in

the

private

practice

of

law.

1

Sec.

13.

NEW

SECTION

.

602.6813

Visiting

judge.

2

1.

A

retired

or

former

judge

or

justice

may

be

assigned

as

3

a

visiting

judge

of

the

business

court

by

the

chief

justice

4

of

the

supreme

court.

A

visiting

judge

of

the

business

court

5

is

subject

to

objection,

disqualification,

or

recusal

in

the

6

same

manner

as

a

retired

or

former

judge

or

justice

is

subject

7

to

objection,

disqualification,

or

recusal

if

appointed

as

a

8

senior

judge.

9

2.

Before

accepting

an

assignment

as

a

visiting

judge

of

10

the

business

court,

a

retired

or

former

judge

or

justice

shall

11

take

the

constitutional

oath

of

office

required

of

appointed

12

officers

of

this

state

and

file

the

oath

with

the

supreme

13

court.

14

Sec.

14.

NEW

SECTION

.

602.6814

Jury

practice

and

procedure.

15

1.

A

jury

trial

of

the

business

court

shall

be

held

in

a

16

county

in

which

venue

would

be

found

under

the

Iowa

rules

of

17

civil

procedure.

18

2.

Subject

to

subsection

1,

a

jury

trial

in

a

case

removed

19

to

the

business

court

shall

be

held

in

the

county

in

which

the

20

action

was

originally

filed.

21

3.

Subject

to

subsection

1,

a

jury

trial

in

a

case

filed

22

initially

in

the

business

court

shall

be

held

in

any

county

in

23

which

it

could

have

been

filed

under

the

Iowa

rules

of

civil

24

procedure,

as

chosen

by

the

plaintiff.

25

4.

The

parties

and

the

judge

of

the

business

court

may

agree

26

to

hold

the

jury

trial

in

any

other

county.

A

party

shall

not

27

be

required

to

agree

to

hold

the

jury

trial

in

a

different

28

county.

29

5.

The

drawing

of

jury

panels,

selection

of

jurors,

and

30

other

jury

practice

and

procedure

in

the

business

court

shall

31

follow

the

standards

for

juries

provided

in

chapter

607A.

32

6.

Practice,

procedure,

rules

of

evidence,

issuance

of

33

process

and

writs,

and

all

other

matters

pertaining

to

the

34

conduct

of

trials,

hearings,

and

other

business

in

the

business

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court

are

governed

by

the

laws

and

rules

prescribed

for

1

district

courts,

unless

otherwise

provided

under

this

part.

2

Sec.

15.

NEW

SECTION

.

602.6815

Written

opinions.

3

To

facilitate

the

establishment

of

a

coherent

body

of

law,

a

4

judge

of

the

business

court

shall

issue

a

written

opinion

when

5

deciding

issues

of

law

by

order

or

judgment,

unless

any

of

the

6

following

apply:

7

1.

The

court

has

a

well-developed

body

of

law

on

the

issue.

8

2.

The

court

is

applying

the

precedent

on

the

issue.

9

3.

Another

opinion

on

the

issue

will

not

significantly

10

contribute

to

the

development

of

the

law.

11

Sec.

16.

NEW

SECTION

.

602.6816

Business

court

staff.

12

1.

The

business

court

shall

have

a

clerk,

whose

office

13

shall

be

located

in

a

judicial

branch

building,

or

located

in

a

14

central

location

designated

by

the

chief

justice

of

the

supreme

15

court.

The

clerk

shall

do

all

of

the

following:

16

a.

Receive

all

filings

in

the

business

court.

17

b.

Fulfill

the

legal

and

administrative

functions

of

a

18

district

clerk.

19

2.

Each

judge

of

the

business

court

shall

maintain

chambers

20

in

the

judicial

district

of

the

judge’s

county

of

residence

in

21

facilities

as

provided

by

law.

22

3.

Subject

to

section

602.6814,

the

business

court,

or

any

23

judge

of

the

business

court,

may

hold

court

at

any

location

in

24

this

state,

as

the

court

determines

is

necessary

or

convenient

25

for

a

particular

civil

action.

26

4.

The

business

court

shall

use

the

most

advanced

technology

27

feasible

when

necessary

and

appropriate

to

facilitate

28

expeditious

proceedings

in

matters

brought

before

the

court.

29

As

determined

by

the

business

court,

counsel

and

parties

may

30

appear

before

the

business

court

by

means

of

internet-based

or

31

other

technological

devices

rather

than

in

person.

32

5.

In

a

county

in

which

the

business

court

sits,

the

sheriff

33

shall

in

person

or

by

deputy

attend

the

business

court

as

34

required

by

the

court.

The

sheriff

or

deputy

is

entitled

to

be

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reimbursed

by

the

state

for

the

cost

of

attending

court.

1

6.

The

business

court

may

appoint

personnel

necessary

for

2

the

operation

of

the

court,

including

any

of

the

following:

3

a.

The

clerk

of

the

court.

4

b.

Staff

attorneys

for

the

court.

5

c.

Staff

attorneys

for

each

judge

of

the

business

court.

6

d.

Court

coordinators.

7

e.

Administrative

assistants.

8

7.

The

court

officials

shall

perform

the

duties

and

9

responsibilities

of

their

offices

and

are

entitled

to

the

10

compensation,

fees,

and

allowances

prescribed

by

law

for

the

11

offices.

12

Sec.

17.

NEW

SECTION

.

602.6817

Fees.

13

The

business

court

shall

provide

rates

for

fees

associated

14

with

filings

and

actions

in

the

business

court.

The

fees

15

shall

be

set

at

a

sufficient

amount

to

cover

the

costs

of

16

administering

the

provisions

of

this

part,

taking

into

account

17

fee

waivers

in

the

interest

of

justice.

18

Sec.

18.

NEW

SECTION

.

602.6818

Seal.

19

The

seal

of

the

business

court

is

the

same

as

that

provided

20

by

law

for

a

district

court

except

that

the

seal

must

contain

21

the

phrase

“The

Business

Court

of

Iowa”.

22

Sec.

19.

NEW

SECTION

.

602.6819

Rules.

23

1.

The

supreme

court

shall

promulgate

rules

of

civil

24

procedure

for

the

business

court

as

the

supreme

court

25

determines

necessary,

including

rules

providing

for

any

of

the

26

following:

27

a.

The

timely

and

efficient

removal

and

remand

of

cases

to

28

and

from

the

business

court.

29

b.

The

assignment

of

cases

to

judges

of

the

business

court.

30

2.

The

business

court

may

prescribe

rules

of

practice

and

31

procedure,

but

these

rules

must

be

consistent

with

this

part,

32

and

are

subject

to

approval

of

the

supreme

court.

33

Sec.

20.

NEW

SECTION

.

602.6820

Transition

provision.

34

1.

This

part

applies

to

civil

actions

described

under

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section

602.6803

filed

on

or

after

the

effective

date

of

this

1

Act.

2

2.

If

a

civil

action

described

under

section

602.6803

was

3

pending

in

a

district

court

before

the

effective

date

of

this

4

Act,

the

parties

may

agree

to

have

the

civil

action

transferred

5

or

removed

to

the

business

court

in

accordance

with

this

part.

6

3.

Except

as

otherwise

provided

in

this

part,

the

business

7

court

for

the

business

court

judicial

district

shall

begin

8

conducting

its

business

on

January

1,

2027.

9

Sec.

21.

APPOINTMENT

OF

BUSINESS

COURT

JUDGES.

As

soon

as

10

practicable

after

the

effective

date

of

this

Act,

the

governor

11

shall

appoint

judges,

subject

to

confirmation

by

the

senate,

to

12

the

business

court

for

the

business

court

judicial

district,

as

13

required

by

section

602.6808,

as

enacted

by

this

Act.

14

Sec.

22.

CONTINGENT

ON

APPROPRIATION.

The

business

court

15

for

the

business

court

judicial

district

is

not

created

unless

16

the

general

assembly

makes

a

specific

appropriation

of

moneys

17

for

that

purpose.

For

purposes

of

this

section,

a

specific

18

appropriation

is

an

appropriation

identifying

the

business

19

court

or

this

Act.

20

Sec.

23.

EFFECTIVE

DATE.

This

Act

takes

effect

September

21

1,

2025.

22

Sec.

24.

APPLICABILITY.

This

Act

applies

on

and

after

23

January

1,

2027,

for

civil

actions

involving

a

business

matter

24

specified

in

section

602.6803,

subsection

2,

as

enacted

by

this

25

Act.

26

EXPLANATION

27

The

inclusion

of

this

explanation

does

not

constitute

agreement

with

28

the

explanation’s

substance

by

the

members

of

the

general

assembly.

29

This

bill

creates

the

business

court

of

Iowa.

30

The

bill

provides

that

the

business

court

has

jurisdiction

31

in

all

counties

in

the

state

and

the

business

court

has

the

32

same

powers

granted

to

a

district

court.

The

bill

provides

33

that

the

business

court

has

jurisdiction

as

specified

in

34

the

bill,

including

but

not

limited

to

controversies

over

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certain

commercial

transactions

of

$10

million

or

more,

and

1

controversies

involving

the

leadership

or

operation

of

a

2

business

entity.

3

The

bill

provides

that

business

court

judges

are

granted

the

4

same

powers,

duties,

immunities,

and

privileges

of

a

district

5

court

judge.

6

The

bill

provides

that

a

person

appointed

to

serve

as

a

7

business

court

judge

must

be

(1)

at

least

35

years

of

age,

8

(2)

a

United

States

citizen,

(3)

an

Iowa

resident

for

a

least

9

two

years

prior

to

appointment,

and

(4)

a

licensed

attorney

10

in

Iowa

that

has

10

or

more

years

of

experience

in

practicing

11

civil

business

litigation,

practicing

business

transactions

12

law,

teaching

classes

in

civil

business

litigation

or

business

13

transaction

law

at

an

accredited

Iowa

law

school,

serving

as

an

14

Iowa

judge

with

civil

jurisdiction,

or

any

combination

thereof.

15

The

bill

requires

the

governor

to

appoint

three

judges

to

16

the

business

court

to

serve

two-year

terms.

The

business

court

17

judges

are

required

to

be

confirmed

by

the

senate.

Judges

18

appointed

are

able

to

be

reappointed

for

additional

two-year

19

terms.

The

bill

prohibits

the

governor

from

appointing

20

multiple

judges

that

reside

in

the

same

county.

The

bill

21

provides

that

if

vacancy

in

the

business

court

occurs,

the

22

governor

may

appoint

a

new

judge

for

the

remainder

of

the

term

23

following

the

procedure

of

the

original

appointment.

The

bill

24

also

provides

procedures

for

the

removal,

disqualification,

and

25

recusal

of

a

business

court

judge.

A

person

appointed

as

a

26

business

court

judge

is

prohibited

from

participating

in

the

27

private

practice

of

law.

The

bill

authorizes

a

retired

or

28

former

judge

or

justice

of

the

Iowa

courts

to

be

assigned

as

a

29

visiting

judge

of

the

business

court.

30

The

bill

requires

each

business

court

judge

to

maintain

31

chambers

in

the

judicial

district

of

residence.

The

bill

32

further

requires

the

business

court

to

utilize

the

most

33

advanced

technology

accessible

for

matters

brought

before

the

34

court

and

instructs

the

sheriff,

in

person

or

by

deputy,

to

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attend

business

court

as

required.

The

bill

authorizes

the

1

court

to

appoint

personnel

necessary

for

operation

of

the

2

court.

The

bill

requires

the

business

court

to

determine

fees

3

and

rates

for

filings

and

actions

in

the

business

court.

4

The

bill

directs

the

supreme

court

to

establish

court

rules

5

as

necessary

for

the

operation

of

the

business

court

and

6

requires

the

governor

to

appoint

judges

to

the

business

court

7

as

soon

as

practicable

after

the

effective

date

of

the

bill.

8

The

bill

provides

that

the

business

court

is

not

created

unless

9

the

general

assembly

appropriates

moneys

for

that

purpose.

10

The

bill

takes

effect

September

1,

2025,

and

applies

to

11

certain

business

actions

described

under

the

bill

on

or

after

12

January

1,

2027.

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