Monday, May 11, 2009

Lawsuit Reform Package Agreement Seen

House and Senate Republican leaders claim today agreement has been reached on what they say is a landmark comprehensive lawsuit reform package.
"I believe we can now say Oklahoma is open for business," said Senate President Pro Tempore Glenn Coffee, R-Oklahoma City.
The agreement follows long discussions that did not include Governor Brad Henry; those involved said he has been kept posted on the details of the negotiations.
In a statement, Henry called the bill "perhaps the most comprehensive tort bill in state history" and said it is similar to the compromise proposal he made in 2007 but was unable to reach a consensus for. "I will be reviewing the measure in greater detail in the days to come, but based on my initial reading of it, I believe this is a strong piece of reform legislation," he said.
Among the bill's changes are a redefining of what constitutes a frivolous lawsuit and strengthening of summary judgment rules to make it easier for a judge to dismiss a lawsuit that has no merit before it goes to trial.
The bill also makes changes to joint and several liability guidelines in which an injured person can recover all his damages from any defendant regardless of their individual share of the liability.
It reinstates a certificate of merit requirement for injured people who want to file professional malpractice lawsuits but broadens it beyond a similar rule that was ruled unconstitutional by the Oklahoma Supreme Court in 2006. That measure dealt exclusively with medical malpractice lawsuits and the high court said it was an unconstitutional special law.
It also ruled the requirement that a medical malpractice claimant obtain a professional's opinion at a cost of up to $5,000 was an unconstitutional monetary barrier to the courts.
The latest proposal requires certificates in any lawsuit alleging professional negligence by physicians, attorneys, accountants and others, a requirement vetoed by Henry last year. Those who cannot afford the cost of a certificate can obtain one for free under existing pauper guidelines, officials said.
The measure would cap non-economic damages, also known as pain and suffering, at $400,000 but allow a judge or jury to waive the cap in cases of gross negligence or catastrophic injury. Supporters had originally wanted a cap of $300,000 with no waiver guidelines.
The bill requires the state to explore the purchase of a $20 million insurance policy by May 1, 2011, to create an indemnity fund for non-economic damages in excess of $400,000.
It also makes a variety of changes to class-action lawsuit guidelines but does not include a proposal opposed by mineral owners that would require them to "opt-in" to class-action lawsuits to become eligible to recoup unpaid royalties. Under existing law, class members are automatically included in a class-action lawsuit unless they notify the court they want to "opt out."
Some details from www.tulsaworld.com.

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