Gov. Bush Signs Important Fla. Tort Reform Legislation

Florida Gov. Jeb Bush has signed legislation (HB 145) that insurance companies say will bring greater equity to the civil justice system by repealing the doctrine of joint and several liability, according to the Property Casualty Insurers Association of America.

“The scales of justice have been balanced,” William Stander, PCI assistant vice president and regional manager said. “This is an important step forward that will improve the business environment and restore fairness to the civil justice system. We congratulate Gov. Bush on signing this legislation and thank the bill’s sponsors, Sen. Dan Webster and Rep. Don Brown along with Senate President Tom Lee and House Speaker Allan Bense for their leadership on this issue. We are proud to be part of a broad-based coalition for legal reform that has been committed to achieving fairness in the civil justice system.”

Joint and several liability laws allow a disproportionate level of liability to be assessed to a party regardless of level of fault in a matter, claims PCI. Under this legal concept, a defendant can be held liable for full damages even if they are only marginally responsible for an injury. House Bill 145 removes exceptions in Florida law that permit “joint and several liability” rather than proportional liability based on percentage of fault. Florida joins nearly two dozen states that have eliminated joint and several liability laws from the books.

“The repeal of joint and several will restore the overall predictability of the civil justice system and that is crucial to creating a stable insurance marketplace,” Stander said. “Stopping litigants from targeting insurers, corporations and others that are thought to have ‘deep pockets will benefit all citizens in Florida. This system has hurt the business community and increased the cost of goods and services to consumers.”

Source: Property Casualty Insurers Association of America

Topics Florida Legislation