AZ HB2263

Extends the statute of limitations for civil actions in employment discrimination cases from one year to two years after a charge is filed with the division.

Adds provisions allowing recovery of punitive and compensatory damages in employment discrimination cases, with caps based on employer size ranging from $50,000 to $300,000 per complaining party.

Requires proof that a defendant engaged in unlawful employment practice with malice or reckless indifference to statutory rights to recover punitive damages, with an exception for state agencies and political subdivisions.

Clarifies that compensatory damages do not include back pay or other equitable relief, and allows jury trials when punitive or compensatory damages are sought.

Modifies the definition of "employer" for sexual harassment claims to include any person with one or more employees, rather than the standard 15-employee threshold.