H. 3489 was the first bill on the agenda. House Judiciary Committee Chairman Jim Harrison explained the compromise amendment proposed by Speaker Harrell and himself.

Speaker Bobby Harrell watched the debate on H. 3489. Speaker Harrell is the primary sponsor of the bill.

Rep. Todd Rutherford made a general statement expressing his displeasure of having to deal with tort reform. He also asked questions regarding the PARSA section of the bill questioning the need to include solicitors in the PARSA section.

Rep. Walt McLeod asked questions regarding the existence of evidence to support the claims that the bill would benefit economic development or lower insurance premiums. McLeod stated he would vote for the bill. 

Rep. James Smith raised concerns about the statute of repose language but indicated he would vote for the bill.

Chairman Harrison addressed all three issues before the committee voted on the Harrell-Harrison amendment.

The legislation passed on a voice vote. Reportedly, Rep. Todd Rutherford was the only committee member to vote against H. 3489.

The amendment which is now the bill includes 5 issues:

1) Punitive Damages - A limit of 3 times compensatory damages or $350,000 whichever is greater on punitive damages awards.
 

2) Private Attorney Retention Sunshine Act - establishes a sliding scale ranging from 23% to 4% on the amount of attorneys' fees that outside counsel receive when employed by the Attorney General or a solicitor.

3) Appeal Bond - establishes a cap of $25 million for large businesses and $1 million for small businesses on the amount of bond a business must post to file an appeal in a civil action.

4) Statute of Repose - the language assures that building code violations do not constitute per se fraud, gross negligence or recklessness, but such violations may be introduced as evidence.

5) Admissibility of non-use of seat belts - the statutory prohibition on the admissibility of failure to use a seat belt is repealed in the bill.

H. 3489 is now headed to the House floor. The House calendar has several important issues pending debate but we anticipate a vote on our tort reform bill in early March.