HomeMy WebLinkAboutMINUTES - 11181986 - 1.9 (3) 09
TO BOARD OF SUPERVISORS
FROM: Contra
Phil Batchelor, County Administrator
Co I��},�,
DATE: o�JCounty int /
November 18, 1986 WI It�l
SUBJECT;
Tort Reform
SPECIFIC REQUEST(S) OR RECOMMENDATIONS) & BACKGROUND AND JUSTIFICATION
We are all concerned about the liability crises and question what
impact Proposition 51 will have on this crises.
1986 was a banner year for enactment of tort reform. The attached
report, "Civil Justice Enactment, 1986 Session" lists tort reform
legislation passed by the states. Included in enacted tort reform
legislation was abolishment of joint and several liability in the states of
Colorado and Utah, and reinstatement of sovereign immunity in Mississippi.
In California, on June 3 , 1986, 62 percent of the California voters
voted yes on Proposition 51, the "deep pocket" reform initiative. This
action is a mandate by the people that tort reform is needed, but action on
Prop. 51 is only the first step toward more comprehensive reform of
California' s tort laws.
A coalition of the California Chamber of Commerce, the League of
California Cities, the County Supervisors ' Association of California, and
the California Medical Association is developing a long-term strategy for
California tort reform. The four areas of reform they are targeting
include:
1. Governmental agency immunities.
Local government has finite resources. At one time
governmental agencies had immunities against many suits.
However, the courts and juries have eroded those immunities.
It is time to update those immunities. The top priority
on immunity updates is the road design immunity
which has been severely eroded by the courts.
2. Punitive damages.
The coalition is looking to change the rules governing
punitive damages to assure such damages are used as
punishment only in cases where punishment is warranted and
not used as a "settlement hammer" to extort money from
innocent defendants.
CONTINUED ON ATTACHMENT: x YES SIGNATURE: :kL
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENTION OF B04D COMMITTEE
APPROVE OTHER IQ
SIGNATURE(S):
ACTION OF BOARD ON APPROVED AS RECOMMENDED X_ OTHER
VOTE OF SUPERVISORS
1 HEREBY CERTIFY THAT THIS IS A TRUE
X UNANIMOUS (ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
cc: CAO Risk Management ATTESTED NOV 18 1986
PHIL BATCHELOR, CLERK OF THE BOARD OF
SUPERVISORS AND COUNTY ADMINISTRATOR
BY {� DEPUTY
M382/7-83
� • _f
3 . Personal Injury Compensation Reform Act (PICRA)
The coalition would like to extend to all areas of personal
injury liability the four major reforms enacted in the
Medical Injury Compensation Reform Act of 1975. Those
reforms include:
a. A cap on pain and suffering.
b. Allowing periodic payments/structured settlements.
c. A sliding scale limitation on lawyers' contingency
fees.
d. The elimination of double recovery for economic
losses.
4. Product liability.
The coalition wants to establish the "state of the art" rule
for product liability damage suits so that industry is held
accountable for product safety based on the level of
technology known and accepted at the time of manufacture and
not for technological changes and improvements developed
subsequent to the product' s manufacture.
The coalition is developing a strategy of meeting with legislators to
obtain their commitment to support legislative enactment of laws that will
limit liability. The objectives of the coalition' s legislative agenda are
to:
1. Assure fair compensation for injured parties.
2. Maximize efficiency of the tort system, i.e. , assure
that as much of the premium dollar as possible goes to the
injured parties.
3 . Reduce and stabilize premiums; produce available and
affordable insurance programs for everyone.
4. Assure fair compensation for the professionals involved
in adjudicating damage disputes.
The coalition is the needed vehicle to move tort reform through the
legislature. If legislative enactment of tort reform is thwarted, the
coalition is prepared to consider going to the public with another
initiative. Hopefully, this coalition, with Contra Costa County' s support
and the broad-based support of many organizations, will be successful in
enactment of major tort reforms.