| 1 | A bill to be entitled |
| 2 | An act relating to civil justice reform; creating s. |
| 3 | 46.100, F.S.; providing for dismissal of actions based on |
| 4 | fraudulent or deceptive activity; providing for recovery |
| 5 | of damages and attorney fees and costs in certain actions; |
| 6 | amending s. 324.021, F.S.; repealing the dangerous |
| 7 | instrumentality doctrine; providing for liability for |
| 8 | personal injuries under certain circumstances; deleting |
| 9 | provisions specifying ownership of motor vehicles for |
| 10 | certain purposes; deleting provisions specifying |
| 11 | application of certain limits of liability; amending s. |
| 12 | 624.155, F.S.; limiting actions against an insurer to |
| 13 | insureds; specifying a duty to cooperate with an insurer |
| 14 | in asserting a demand for settlement; specifying certain |
| 15 | activities as a defense in certain actions; revising |
| 16 | certain time periods relating to notices in certain |
| 17 | actions; revising notice requirements; providing for |
| 18 | preemption of specified civil remedies; specifying effect |
| 19 | of certain judgments; specifying a criterion for burden of |
| 20 | proof in actions against an insurer; limiting insurer |
| 21 | liability for failure to pay policy limits under certain |
| 22 | circumstances; authorizing parties to request certain |
| 23 | court orders relating to unnecessary delay; providing |
| 24 | requirements for amending witness lists; limiting |
| 25 | admissibility of certain evidence; specifying |
| 26 | considerations for a trier of fact in certain actions; |
| 27 | providing construction relating to assigning causes of |
| 28 | action; amending s. 768.0710, F.S.; limiting liability for |
| 29 | damages to a claimant resulting from intentional or |
| 30 | criminal acts; creating s. 768.1254, F.S.; providing |
| 31 | definitions; creating s. 768.1255, F.S.; providing general |
| 32 | rules for product liability actions against product |
| 33 | sellers; specifying criteria for liability of a product |
| 34 | seller as a manufacturer; amending s. 768.1256, F.S.; |
| 35 | deleting a rebuttable presumption provision in product |
| 36 | liability actions; creating s. 768.1382, F.S.; limiting |
| 37 | liability of certain public and private entities providing |
| 38 | street lights, security lights, or other similar |
| 39 | illumination; providing that certain entities do not owe a |
| 40 | duty to the public to provide, operate, or maintain |
| 41 | illumination; providing exceptions; prohibiting certain |
| 42 | findings of fault or responsibility of an entity not a |
| 43 | party to litigation; amending s. 768.28, F.S.; limiting |
| 44 | the liability of law enforcement officers or sheriffs and |
| 45 | employing law enforcement agencies for civil damages for |
| 46 | injury or death from pursuing fleeing persons under |
| 47 | certain circumstances; amending s. 768.76, F.S.; requiring |
| 48 | a jury to be informed of the amount of certain benefits |
| 49 | paid or available for payment from collateral sources; |
| 50 | amending s. 768.79, F.S.; specifying absence of |
| 51 | restrictions on certain settlement or release agreements; |
| 52 | limiting attorney fees under certain circumstances; |
| 53 | amending s. 768.81, F.S.; deleting exceptions to a |
| 54 | requirement for liability based on percentage of fault |
| 55 | instead of joint and several liability; providing for |
| 56 | apportionment of damages; expanding application of |
| 57 | provisions to additional negligence cases; revising a |
| 58 | nonapplication provision; amending s. 324.031, F.S.; |
| 59 | removing a cross reference, to conform; repealing s. |
| 60 | 324.032, F.S., relating to manner of proving financial |
| 61 | responsibility for for-hire passenger transportation |
| 62 | vehicles; repealing s. 768.1257, F.S., relating to state- |
| 63 | of-the-art defense for products liability; providing |
| 64 | severability; providing applicability; providing an |
| 65 | effective date. |
| 66 |
|
| 67 | WHEREAS, it is the intent of the Legislature to protect the |
| 68 | right of the citizen to access the courts while protecting jobs |
| 69 | by limiting the liability of citizens, governmental agencies, |
| 70 | and businesses, and |
| 71 | WHEREAS, civil lawsuits and counterclaims, often involving |
| 72 | millions of dollars, have been and are being filed against |
| 73 | countless citizens, governmental agencies, and businesses in |
| 74 | this state where those citizens, governmental agencies, and |
| 75 | business ought not be held liable, and |
| 76 | WHEREAS, such lawsuits and counterclaims are often filed |
| 77 | against citizens, governmental agencies, and businesses with the |
| 78 | most amount of money and ability to pay large settlements, and |
| 79 | WHEREAS, such lawsuits and counterclaims put the citizens, |
| 80 | governmental agencies, and businesses of this state through |
| 81 | great and needless expense, harassment, and interruption of |
| 82 | their duties, and |
| 83 | WHEREAS, such lawsuits and counterclaims have increased |
| 84 | significantly over the last 30 years and have become a threat to |
| 85 | the employment security and public safety of the citizens of |
| 86 | this state, and |
| 87 | WHEREAS, the following changes to the manner in which civil |
| 88 | actions are conducted will ensure that citizens continue to have |
| 89 | a right of access to courts and that jobs in this state will be |
| 90 | protected by ensuring that citizens, governmental agencies, and |
| 91 | businesses will not be held liable when they ought not be, and |
| 92 | WHEREAS, the Legislature acknowledges that the civil |
| 93 | justice system is a very complex system which touches upon many |
| 94 | areas, and, in order to accomplish the aforementioned goals, any |
| 95 | reforms to this system must be broad, comprehensive, and all- |
| 96 | inclusive, and |
| 97 | WHEREAS, it is the intent of the Legislature to accomplish |
| 98 | these goals by reforming the civil justice system of this state |
| 99 | and that the Legislature believes the following changes are thus |
| 100 | needed, NOW, THEREFORE, |
| 101 |
|
| 102 | Be It Enacted by the Legislature of the State of Florida: |
| 103 |
|
| 104 | Section 1. Section 46.100, Florida Statutes, is created to |
| 105 | read: |
| 106 | 46.100 Dismissal due to fraud.-- |
| 107 | (1) In any civil action, the defendant shall be entitled |
| 108 | to dismissal upon a motion for dismissal with evidence |
| 109 | demonstrating that the plaintiff engaged in any fraudulent or |
| 110 | deceptive activity in any aspect of the lawsuit which is the |
| 111 | subject of the damages sought from the defendant. Such motion |
| 112 | for motion for dismissal shall be granted based on a |
| 113 | preponderance of the evidence. The judge shall rule on such |
| 114 | motions in a timely manner. |
| 115 | (2) A defendant prevailing in such action under subsection |
| 116 | (1) may recover compensatory, consequential, and punitive |
| 117 | damages subject to the requirements and limitations of part II |
| 118 | of chapter 768 and attorney's fees and costs incurred in |
| 119 | litigating a cause of action against any person convicted of, or |
| 120 | who, regardless of adjudication of guilt, pleads guilty or nolo |
| 121 | contendere to insurance fraud under s. 817.234, associated with |
| 122 | a claim for damages or other benefits. |
| 123 | Section 2. Subsection (9) of section 324.021, Florida |
| 124 | Statutes, is amended to read: |
| 125 | 324.021 Definitions; minimum insurance required.--The |
| 126 | following words and phrases when used in this chapter shall, for |
| 127 | the purpose of this chapter, have the meanings respectively |
| 128 | ascribed to them in this section, except in those instances |
| 129 | where the context clearly indicates a different meaning: |
| 130 | (9) DANGEROUS INSTRUMENTALITY DOCTRINE REPEALED OWNER; |
| 131 | OWNER/LESSOR.--The dangerous instrumentality doctrine is |
| 132 | repealed. A person or entity that negligently entrusts the use |
| 133 | of a vehicle to a third party may be liable for any personal |
| 134 | injuries that occur as a result of the negligent operation of |
| 135 | the vehicle by the third party if the entrusting party knew or |
| 136 | had reason to know that the third party would use the vehicle in |
| 137 | such a manner as to create an unreasonable risk of harm to |
| 138 | others. |
| 139 | (a) Owner.--A person who holds the legal title of a motor |
| 140 | vehicle; or, in the event a motor vehicle is the subject of an |
| 141 | agreement for the conditional sale or lease thereof with the |
| 142 | right of purchase upon performance of the conditions stated in |
| 143 | the agreement and with an immediate right of possession vested |
| 144 | in the conditional vendee or lessee, or in the event a mortgagor |
| 145 | of a vehicle is entitled to possession, then such conditional |
| 146 | vendee or lessee or mortgagor shall be deemed the owner for the |
| 147 | purpose of this chapter. |
| 148 | (b) Owner/lessor.--Notwithstanding any other provision of |
| 149 | the Florida Statutes or existing case law: |
| 150 | 1. The lessor, under an agreement to lease a motor vehicle |
| 151 | for 1 year or longer which requires the lessee to obtain |
| 152 | insurance acceptable to the lessor which contains limits not |
| 153 | less than $100,000/$300,000 bodily injury liability and $50,000 |
| 154 | property damage liability or not less than $500,000 combined |
| 155 | property damage liability and bodily injury liability, shall not |
| 156 | be deemed the owner of said motor vehicle for the purpose of |
| 157 | determining financial responsibility for the operation of said |
| 158 | motor vehicle or for the acts of the operator in connection |
| 159 | therewith; further, this subparagraph shall be applicable so |
| 160 | long as the insurance meeting these requirements is in effect. |
| 161 | The insurance meeting such requirements may be obtained by the |
| 162 | lessor or lessee, provided, if such insurance is obtained by the |
| 163 | lessor, the combined coverage for bodily injury liability and |
| 164 | property damage liability shall contain limits of not less than |
| 165 | $1 million and may be provided by a lessor's blanket policy. |
| 166 | 2. The lessor, under an agreement to rent or lease a motor |
| 167 | vehicle for a period of less than 1 year, shall be deemed the |
| 168 | owner of the motor vehicle for the purpose of determining |
| 169 | liability for the operation of the vehicle or the acts of the |
| 170 | operator in connection therewith only up to $100,000 per person |
| 171 | and up to $300,000 per incident for bodily injury and up to |
| 172 | $50,000 for property damage. If the lessee or the operator of |
| 173 | the motor vehicle is uninsured or has any insurance with limits |
| 174 | less than $500,000 combined property damage and bodily injury |
| 175 | liability, the lessor shall be liable for up to an additional |
| 176 | $500,000 in economic damages only arising out of the use of the |
| 177 | motor vehicle. The additional specified liability of the lessor |
| 178 | for economic damages shall be reduced by amounts actually |
| 179 | recovered from the lessee, from the operator, and from any |
| 180 | insurance or self-insurance covering the lessee or operator. |
| 181 | Nothing in this subparagraph shall be construed to affect the |
| 182 | liability of the lessor for its own negligence. |
| 183 | 3. The owner who is a natural person and loans a motor |
| 184 | vehicle to any permissive user shall be liable for the operation |
| 185 | of the vehicle or the acts of the operator in connection |
| 186 | therewith only up to $100,000 per person and up to $300,000 per |
| 187 | incident for bodily injury and up to $50,000 for property |
| 188 | damage. If the permissive user of the motor vehicle is uninsured |
| 189 | or has any insurance with limits less than $500,000 combined |
| 190 | property damage and bodily injury liability, the owner shall be |
| 191 | liable for up to an additional $500,000 in economic damages only |
| 192 | arising out of the use of the motor vehicle. The additional |
| 193 | specified liability of the owner for economic damages shall be |
| 194 | reduced by amounts actually recovered from the permissive user |
| 195 | and from any insurance or self-insurance covering the permissive |
| 196 | user. Nothing in this subparagraph shall be construed to affect |
| 197 | the liability of the owner for his or her own negligence. |
| 198 | (c) Application.-- |
| 199 | 1. The limits on liability in subparagraphs (b)2. and 3. |
| 200 | do not apply to an owner of motor vehicles that are used for |
| 201 | commercial activity in the owner's ordinary course of business, |
| 202 | other than a rental company that rents or leases motor vehicles. |
| 203 | For purposes of this paragraph, the term "rental company" |
| 204 | includes only an entity that is engaged in the business of |
| 205 | renting or leasing motor vehicles to the general public and that |
| 206 | rents or leases a majority of its motor vehicles to persons with |
| 207 | no direct or indirect affiliation with the rental company. The |
| 208 | term also includes a motor vehicle dealer that provides |
| 209 | temporary replacement vehicles to its customers for up to 10 |
| 210 | days. |
| 211 | 2. Furthermore, with respect to commercial motor vehicles |
| 212 | as defined in s. 627.732, the limits on liability in |
| 213 | subparagraphs (b)2. and 3. do not apply if, at the time of the |
| 214 | incident, the commercial motor vehicle is being used in the |
| 215 | transportation of materials found to be hazardous for the |
| 216 | purposes of the Hazardous Materials Transportation Authorization |
| 217 | Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq., and that is |
| 218 | required pursuant to such act to carry placards warning others |
| 219 | of the hazardous cargo, unless at the time of lease or rental |
| 220 | either: |
| 221 | a. The lessee indicates in writing that the vehicle will |
| 222 | not be used to transport materials found to be hazardous for the |
| 223 | purposes of the Hazardous Materials Transportation Authorization |
| 224 | Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq.; or |
| 225 | b. The lessee or other operator of the commercial motor |
| 226 | vehicle has in effect insurance with limits of at least |
| 227 | $5,000,000 combined property damage and bodily injury liability. |
| 228 | Section 3. Subsections (1), (3), and (8) of section |
| 229 | 624.155, Florida Statutes, are amended, and subsections (9), |
| 230 | (10), (11), and (12) are added to said section, to read: |
| 231 | 624.155 Civil remedy.-- |
| 232 | (1) An insured Any person may bring a civil action against |
| 233 | an insurer when such person is damaged: |
| 234 | (a) By a violation of any of the following provisions by |
| 235 | the insurer: |
| 236 | 1. Section 626.9541(1)(i), (o), or (x); |
| 237 | 2. Section 626.9551; |
| 238 | 3. Section 626.9705; |
| 239 | 4. Section 626.9706; |
| 240 | 5. Section 626.9707; or |
| 241 | 6. Section 627.7283. |
| 242 | (b) By the commission of any of the following acts by the |
| 243 | insurer: |
| 244 | 1. Not attempting in good faith to settle claims when, |
| 245 | under all the circumstances, it could and should have done so, |
| 246 | had it acted fairly and honestly toward its insured and with due |
| 247 | regard for her or his interests and the interests of all other |
| 248 | policyholders. However, both the insured and any person |
| 249 | asserting any demand for such settlement owes a similar duty to |
| 250 | the insurer to cooperate fully with the insurer, and it shall be |
| 251 | a defense to any action under this section if the court finds |
| 252 | that the insured or other person demanding settlement: |
| 253 | a. Failed to cooperate fully in facilitating the |
| 254 | settlement; |
| 255 | b. Imposed or adhered to time limits or other conditions |
| 256 | on settlement without at that time demonstrating to the insurer |
| 257 | valid reasons that such time limits or other conditions were |
| 258 | reasonable and necessary and that such reasons were totally |
| 259 | unrelated to the possibility of obtaining damages under this |
| 260 | section; or |
| 261 | c. Lacked authority to make the demand or to accept the |
| 262 | amount demanded in full settlement of all claims, including |
| 263 | liens, arising from the occurrence; |
| 264 | 2. Making claims payments to insureds or beneficiaries not |
| 265 | accompanied by a statement setting forth the coverage under |
| 266 | which payments are being made; or |
| 267 | 3. Except as to liability coverages, failing to promptly |
| 268 | settle claims, when the obligation to settle a claim has become |
| 269 | reasonably clear, under one portion of the insurance policy |
| 270 | coverage in order to influence settlements under other portions |
| 271 | of the insurance policy coverage. |
| 272 |
|
| 273 | Notwithstanding the provisions of the above to the contrary, a |
| 274 | person pursuing a remedy under this section need not prove that |
| 275 | such act was committed or performed with such frequency as to |
| 276 | indicate a general business practice. |
| 277 | (3)(a) As a condition precedent to bringing an action |
| 278 | under this section, the department and the authorized insurer |
| 279 | must have been given 90 60 days' written notice of the |
| 280 | violation. If the department returns a notice for lack of |
| 281 | specificity, the 90-day 60-day time period shall not begin until |
| 282 | a proper notice is filed. |
| 283 | (b) The notice shall be on a form provided by the |
| 284 | department and shall state with specificity the following |
| 285 | information, and such other information as the department may |
| 286 | require: |
| 287 | 1. The statutory provision, including the specific |
| 288 | language of the statute, which the authorized insurer allegedly |
| 289 | violated. |
| 290 | 2. The specific facts and circumstances giving rise to the |
| 291 | violation, including facts and circumstances pertinent to each |
| 292 | factor stated in subsection (10) and the identity of all parties |
| 293 | who have made claims against the insured for the occurrence |
| 294 | giving rise to the claim and any documentation pertaining to |
| 295 | such claims. |
| 296 | 3. The name of any individual involved in the violation. |
| 297 | 4. Reference to specific policy coverage and language that |
| 298 | is relevant to the violation, if any. If the person bringing the |
| 299 | civil action is a third party claimant, she or he shall not be |
| 300 | required to reference the specific policy language if the |
| 301 | authorized insurer has not provided a copy of the policy to the |
| 302 | third party claimant pursuant to written request. |
| 303 | 5. A statement that the notice is given in order to |
| 304 | perfect the right to pursue the civil remedy authorized by this |
| 305 | section. |
| 306 | 6. A detailed description of the specific dollar amounts |
| 307 | that are due and unpaid under each available coverage and how |
| 308 | such amounts are calculated and of any other actions requested |
| 309 | to cure the violation. |
| 310 | (c) Within 30 20 days of receipt of the notice, the |
| 311 | department shall may return any notice that does not provide the |
| 312 | specific information required by this section, and the |
| 313 | department shall indicate the specific deficiencies contained in |
| 314 | the notice. A determination by the department to return a notice |
| 315 | for lack of specificity shall be exempt from the requirements of |
| 316 | chapter 120. |
| 317 | (d) No action shall lie if, within 90 60 days after filing |
| 318 | notice, the damages are paid or the circumstances giving rise to |
| 319 | the violation are corrected. |
| 320 | (e) The authorized insurer that is the recipient of a |
| 321 | notice filed pursuant to this section shall report to the |
| 322 | department on the disposition of the alleged violation. |
| 323 | (f) The applicable statute of limitations for an action |
| 324 | under this section shall be tolled for a period of 95 65 days by |
| 325 | the mailing of the notice required by this subsection or the |
| 326 | mailing of a subsequent notice required by this subsection. |
| 327 | (8) The civil remedy specified in this section preempts |
| 328 | all does not preempt any other remedies and causes remedy or |
| 329 | cause of action for extra-contractual damages for failure to |
| 330 | settle under an insurance contract provided for pursuant to any |
| 331 | other statute or pursuant to the common law of this state. Any |
| 332 | person may obtain a judgment under either the common-law remedy |
| 333 | of bad faith or this statutory remedy, but shall not be entitled |
| 334 | to a judgment under both remedies. This section shall not be |
| 335 | construed to create a common-law cause of action. The damages |
| 336 | recoverable pursuant to this section shall include, but not |
| 337 | exceed, those actual damages which are a reasonably foreseeable |
| 338 | result of a specified violation of this section by the |
| 339 | authorized insurer and may include an award or judgment in an |
| 340 | amount that exceeds the policy limits. The rendition of a |
| 341 | judgment against a liability insured shall not raise any |
| 342 | presumption or inference that the violation will foreseeably |
| 343 | result in actual damages, except to the extent it is proven that |
| 344 | the insured has or is reasonably expected to have assets from |
| 345 | which such judgment is expected to be paid. The satisfaction of |
| 346 | a judgment rendered against an insurer pursuant to this |
| 347 | subsection shall operate as the satisfaction of the underlying |
| 348 | judgment against the insured. |
| 349 | (9) In all actions against an insurer relating to failure |
| 350 | to settle claims for liability insurance coverage, the burden of |
| 351 | proof shall be clear and convincing evidence of an unreasonable |
| 352 | refusal to settle. |
| 353 | (a) An insurer shall not be held liable for failure to pay |
| 354 | its policy limits if the insurer tenders its policy limits by |
| 355 | the earlier of: |
| 356 | 1. The 210th day after service of the complaint in the |
| 357 | negligence action upon the insured. The time period specified in |
| 358 | this subparagraph shall be extended by an additional 60 days if |
| 359 | the court finds in the action for a violation of this section |
| 360 | that, at any time during such period and after the 150th day |
| 361 | after service of the complaint in the underlying liability |
| 362 | action, the claimant provided new information not previously |
| 363 | provided to the insurer relating to the identity or testimony of |
| 364 | any material witnesses or the identity of any additional |
| 365 | claimants or defendants if such disclosure materially alters the |
| 366 | risk to the insured of an excess judgment; or |
| 367 | 2. The 60th day after the conclusion of all of the |
| 368 | following: |
| 369 | a. Depositions of all claimants named in the complaint or |
| 370 | amended complaint. |
| 371 | b. Depositions of all defendants named in the complaint or |
| 372 | amended complaint, including, in the case of a corporate |
| 373 | defendant, deposition of a designated representative. |
| 374 | c. Depositions of all of the claimants' expert witnesses. |
| 375 | d. The initial disclosure of witnesses and production of |
| 376 | documents. |
| 377 |
|
| 378 | When there are multiple claimants seeking compensation from the |
| 379 | same insured or multiple insureds or when there is a single |
| 380 | claimant seeking compensation from multiple insureds for damages |
| 381 | arising from the same occurrence, which compensation in the |
| 382 | aggregate exceeds policy limits, the insurer of the insured or |
| 383 | insureds shall not be held liable for extra-contractual damages |
| 384 | for failure to pay its policy limits if the insurer makes a |
| 385 | written offer of its policy limits within the time frame set |
| 386 | forth in this subsection to all known potential claimants in |
| 387 | exchange for releases of all claims against all insureds or |
| 388 | tenders such limits to the court for apportionment to the |
| 389 | claimants. |
| 390 | (b) Either party may request that the court enter an order |
| 391 | finding that the other party has unnecessarily or |
| 392 | inappropriately delayed any of the events specified in |
| 393 | subparagraph (a)2. If the court finds that the claimant was |
| 394 | responsible for such unnecessary or inappropriate delay, |
| 395 | subparagraph (a)1. shall not apply to the insurer's tendering of |
| 396 | policy limits. If the court finds that the defendant or insurer |
| 397 | was responsible for such unnecessary or inappropriate delay, |
| 398 | subparagraph (a)2. shall not apply to the insurer's tendering of |
| 399 | policy limits. |
| 400 | (c) If any party to an action alleging liability for acts |
| 401 | covered by liability insurance amends its witness list after |
| 402 | service of the complaint in such action, that party shall |
| 403 | provide a copy of the amended witness list to the insurer of the |
| 404 | defendant. |
| 405 | (d) The time limits specified in this subsection shall not |
| 406 | be admissible as evidence that the insurer acted in violation of |
| 407 | this section. |
| 408 | (10) When an insurer does not tender its policy limits to |
| 409 | settle a liability insurance claim under subsection (9), the |
| 410 | trier of fact, in determining whether an insurer has acted in |
| 411 | violation of this section, shall consider only: |
| 412 | (a) The insurer's willingness to negotiate with the |
| 413 | claimant in anticipation of settlement. |
| 414 | (b) The propriety of the insurer's methods of |
| 415 | investigating and evaluating the claim. |
| 416 | (c) Whether the insurer timely informed the insured of an |
| 417 | offer to settle within the limits of coverage, the right to |
| 418 | retain personal counsel, and the risk of litigation. |
| 419 | (d) Whether the insured denied liability or requested that |
| 420 | the case be defended after the insurer fully advised the insured |
| 421 | as to the facts and risks. |
| 422 | (e) Whether the claimant imposed any condition, other than |
| 423 | the tender of the policy limits, on the settlement of the claim. |
| 424 | (f) Whether the claimant provided all relevant information |
| 425 | to the insurer on a timely basis. |
| 426 | (g) Whether and when other defendants in the case settled |
| 427 | or were dismissed from the case. |
| 428 | (h) Whether there were multiple claimants seeking, in the |
| 429 | aggregate, compensation in excess of policy limits from the |
| 430 | defendant or the defendant's insurer. |
| 431 | (i) Whether the insured or claimant misrepresented |
| 432 | material facts to the insurer or made material omissions of fact |
| 433 | to the insurer. |
| 434 | (j) Other matters that constitute defenses or limitations |
| 435 | to actions or damages that are specified in this section. |
| 436 | (11) An insurer that tenders policy limits shall be |
| 437 | entitled to a release of its insured if the claimant accepts the |
| 438 | tender. |
| 439 | (12) Nothing in this section shall be construed to |
| 440 | prohibit an insured from assigning the cause of action to an |
| 441 | injured third-party claimant for the insurer's failure to act |
| 442 | fairly and honestly towards its insured and with due regard for |
| 443 | the insured's interest. |
| 444 | Section 4. Section 768.0710, Florida Statutes, is amended |
| 445 | to read: |
| 446 | 768.0710 Burden of proof in claims of negligence involving |
| 447 | transitory foreign objects or substances against persons or |
| 448 | entities in possession or control of business Premises liability |
| 449 | for commercial establishments.-- |
| 450 | (1) When a person slips and falls on a transitory foreign |
| 451 | substance in a retail establishment, the injured person must |
| 452 | prove that the retail establishment had actual or constructive |
| 453 | knowledge of the dangerous condition such that the condition |
| 454 | existed for such a length of time that, in the exercise of |
| 455 | ordinary care, the premises' owner should have known of the |
| 456 | condition and taken action to remedy the condition. Constructive |
| 457 | knowledge may be established by circumstantial evidence showing |
| 458 | that: |
| 459 | (a) The dangerous condition existed for such a length of |
| 460 | time that, in the exercise of ordinary care, the premises owner |
| 461 | should have known of the condition; or |
| 462 | (b) The condition occurred with regularity and was |
| 463 | therefore foreseeable. The person or entity in possession or |
| 464 | control of business premises owes a duty of reasonable care to |
| 465 | maintain the premises in a reasonably safe condition for the |
| 466 | safety of business invitees on the premises, which includes |
| 467 | reasonable efforts to keep the premises free from transitory |
| 468 | foreign objects or substances that might foreseeably give rise |
| 469 | to loss, injury, or damage. |
| 470 | (2) Notwithstanding any provision of this section, any |
| 471 | person or entity in possession or control of a business premises |
| 472 | is not liable for any damages to a claimant if such loss, |
| 473 | injury, or damage to a business invitee is the result of the |
| 474 | intentional or criminal acts of a third party. In any civil |
| 475 | action for negligence involving loss, injury, or damage to a |
| 476 | business invitee as a result of a transitory foreign object or |
| 477 | substance on business premises, the claimant shall have the |
| 478 | burden of proving that: |
| 479 | (a) The person or entity in possession or control of the |
| 480 | business premises owed a duty to the claimant; |
| 481 | (b) The person or entity in possession or control of the |
| 482 | business premises acted negligently by failing to exercise |
| 483 | reasonable care in the maintenance, inspection, repair, warning, |
| 484 | or mode of operation of the business premises. Actual or |
| 485 | constructive notice of the transitory foreign object or |
| 486 | substance is not a required element of proof to this claim. |
| 487 | However, evidence of notice or lack of notice offered by any |
| 488 | party may be considered together with all of the evidence; and |
| 489 | (c) The failure to exercise reasonable care was a legal |
| 490 | cause of the loss, injury, or damage. |
| 491 | Section 5. Section 768.1254, Florida Statutes, is created |
| 492 | to read: |
| 493 | 768.1254 Definitions.--As used in this section and ss. |
| 494 | 768.1255 and 768.1256: |
| 495 | (1) "Product liability action" means any civil claim or |
| 496 | action for harm caused by a product, regardless of the theory on |
| 497 | which the claim is based. |
| 498 | (2) "Harm" means death; personal injury; physical damage |
| 499 | to property other than to the product itself; economic loss, |
| 500 | including the loss of earnings or other benefits related to |
| 501 | employment, medical expenses, lost support and services, funeral |
| 502 | and burial costs, loss of business or employment opportunities, |
| 503 | and medical monitoring, as permitted under applicable law; and |
| 504 | noneceonomic loss, including pain and suffering, mental anguish, |
| 505 | disfigurement, loss of capacity for the enjoyment of life, |
| 506 | emotional distress, loss of society and companionship, loss of |
| 507 | consortium, injury to reputation, humiliation, fear of future |
| 508 | injury, or increased risk of disease, as permitted under |
| 509 | applicable law. The term does not include direct, incidental, or |
| 510 | consequential pecuniary loss to, or resulting from damage to, |
| 511 | the product or nonphysical damage to property other than the |
| 512 | product. |
| 513 | (3) "Manufacturer" means any person who, in the course of |
| 514 | a business conducted for that purpose, designs, makes, |
| 515 | constructs, formulates, produces, fabricates, assembles, |
| 516 | packages, or labels any product or component part of a product |
| 517 | or engages another to do so. The term does not include |
| 518 | independent product designers whose services are contracted for |
| 519 | by the manufacturer if such designers are not otherwise engaged |
| 520 | in the business of selling products. |
| 521 | (4) "Person" means any individual, corporation, company, |
| 522 | association, firm, partnership, society, organization, joint |
| 523 | stock company, or any other entity. |
| 524 | (5) "Product" means any tangible personal property |
| 525 | distributed commercially. |
| 526 | (6) "Seller" means a person or entity, including a |
| 527 | retailer, distributor, wholesaler, or lessor, that is regularly |
| 528 | engaged in the selling or leasing of a product. |
| 529 | Section 6. Section 768.1255, Florida Statutes, is created |
| 530 | to read: |
| 531 | 768.1255 General rule; seller liable as a manufacturer.-- |
| 532 | (1) GENERAL RULE.--No product liability action may be |
| 533 | maintained or commenced against a product seller unless the |
| 534 | product seller: |
| 535 | (a) Made an express warranty as to the product and the |
| 536 | failure of the product to conform to that warranty caused the |
| 537 | person's harm; |
| 538 | (b) Produced, designed, designated, or provided the plans |
| 539 | or specifications for the manufacture or preparation of the |
| 540 | product; |
| 541 | (c) Altered, modified, assembled, failed to maintain, |
| 542 | packaged, labeled, or installed the product in a manner that |
| 543 | caused the person's harm; |
| 544 | (d) Violated a statutory or regulatory requirement when |
| 545 | the seller sold the product, including any violation of s. |
| 546 | 768.125; or |
| 547 | (e) Negligently entrusted or supplied the product for the |
| 548 | use of another whom the product seller knew or should have known |
| 549 | would be likely to use the product in a manner that posed an |
| 550 | unreasonable risk of physical harm to the user or others. |
| 551 | (2) SELLER LIABLE AS A MANUFACTURER.--Notwithstanding |
| 552 | subsection (1), a product seller may be liable as a manufacturer |
| 553 | if: |
| 554 | (a) The manufacturer has no identifiable agent, facility, |
| 555 | or other presence in the United States; |
| 556 | (b) The manufacturer is not subject to service of process |
| 557 | in any state in which the action could have been brought and |
| 558 | service cannot be secured by a long-arm statute; |
| 559 | (c) The manufacturer is otherwise immune from suit; or |
| 560 | (d) The court determines that the person is or would be |
| 561 | unable to enforce a judgment against the manufacturer. For |
| 562 | purpose of this paragraph, the statute of limitations applicable |
| 563 | to a claim asserting the liability of a product seller is tolled |
| 564 | from the date of the filing of a complaint against the |
| 565 | manufacturer to the date that judgment is entered against the |
| 566 | manufacturer. |
| 567 | Section 7. Subsections (2) and (3) of section 768.1256, |
| 568 | Florida Statutes, are amended to read: |
| 569 | 768.1256 Government rules defense.-- |
| 570 | (2) In a product liability action as described in |
| 571 | subsection (1), there is a rebuttable presumption that the |
| 572 | product is defective or unreasonably dangerous and the |
| 573 | manufacturer or seller is liable if the manufacturer or seller |
| 574 | did not comply with the federal or state codes, statutes, rules, |
| 575 | regulations, or standards which: |
| 576 | (a) Were relevant to the event causing the death or |
| 577 | injury; |
| 578 | (b) Are designed to prevent the type of harm that |
| 579 | allegedly occurred; and |
| 580 | (c) Require compliance as a condition for selling or |
| 581 | distributing the product. |
| 582 | (2)(3) This section does not apply to an action brought |
| 583 | for harm allegedly caused by a drug that is ordered off the |
| 584 | market or seized by the Federal Food and Drug Administration. |
| 585 | Section 8. Section 768.1382, Florida Statutes, is created |
| 586 | to read: |
| 587 | 768.1382 Street lights and other similar illumination; |
| 588 | limitation on liability.--Neither the state, any of the state's |
| 589 | officers, agencies, or instrumentalities, any political |
| 590 | subdivision, as defined in s. 1.01, nor any electric utility, as |
| 591 | defined in s. 366.02(2), that provides or operates or maintains |
| 592 | street lights, security lights, or other similar illumination |
| 593 | shall be held liable for any civil damages for injury or death |
| 594 | affected or caused by the adequacy or failure of illumination of |
| 595 | such lights, regardless of whether the adequacy or failure of |
| 596 | illumination is alleged or demonstrated to have contributed in |
| 597 | any manner to the injury or death, unless such liability was |
| 598 | expressly assumed by written contract. No such entity that |
| 599 | provides, operates, or maintains a manner of illumination as |
| 600 | described in this section owes a duty to the public to provide, |
| 601 | operate, or maintain the illumination in any manner, except that |
| 602 | such a duty may be expressly assumed by written contract. In any |
| 603 | civil action for damages arising out of personal injury or |
| 604 | wrongful death when an entity's fault regarding the maintenance |
| 605 | of street lights is at issue, if the entity responsible for |
| 606 | maintaining the street lights is not a party to the litigation, |
| 607 | the entity shall not be deemed or found in such action to be in |
| 608 | any way at fault or responsible for the injury or death that |
| 609 | gave rise to the damages. |
| 610 | Section 9. Paragraph (d) is added to subsection (9) of |
| 611 | section 768.28, Florida Statutes, to read: |
| 612 | 768.28 Waiver of sovereign immunity in tort actions; |
| 613 | recovery limits; limitation on attorney fees; statute of |
| 614 | limitations; exclusions; indemnification; risk management |
| 615 | programs.-- |
| 616 | (9) |
| 617 | (d) No sheriff or law enforcement officer as defined in s. |
| 618 | 943.10(1), employed by any county, municipality, state agency, |
| 619 | or any political subdivision of the state, or the employing |
| 620 | agency as defined in s. 943.10(4), shall be held liable for any |
| 621 | civil damages for injury or death effected or caused by a person |
| 622 | fleeing from a sheriff or law enforcement officer when the |
| 623 | pursuit of that person is conducted in a manner that did not |
| 624 | involve willful or wanton disregard for the safety of persons or |
| 625 | property on the part of the sheriff or law enforcement officer |
| 626 | and the person fleeing is reasonably believed to have committed |
| 627 | a felony violation of the laws of this state. |
| 628 | Section 10. Subsection (1) of section 768.76, Florida |
| 629 | Statutes, is amended to read: |
| 630 | 768.76 Collateral sources of indemnity.-- |
| 631 | (1) In any action to which this part applies in which |
| 632 | liability is admitted or is determined by the trier of fact and |
| 633 | in which damages are awarded to compensate the claimant for |
| 634 | losses sustained, the jury shall be informed of the total of all |
| 635 | amounts which have been paid for the benefit of claimant or |
| 636 | which are otherwise available to the claimant from all |
| 637 | collateral sources, and the court shall reduce the amount of |
| 638 | such award by the total of all amounts which have been paid for |
| 639 | the benefit of the claimant, or which are otherwise available to |
| 640 | the claimant, from all collateral sources; however, there shall |
| 641 | be no reduction for collateral sources for which a subrogation |
| 642 | or reimbursement right exists. Such reduction shall be offset to |
| 643 | the extent of any amount which has been paid, contributed, or |
| 644 | forfeited by, or on behalf of, the claimant or members of the |
| 645 | claimant's immediate family to secure her or his right to any |
| 646 | collateral source benefit which the claimant is receiving as a |
| 647 | result of her or his injury. |
| 648 | Section 11. Subsection (9) is added to section 768.79, |
| 649 | Florida Statutes, to read: |
| 650 | 768.79 Offer of judgment and demand for judgment.-- |
| 651 | (9) Nothing in this section restricts the ability of |
| 652 | parties to enter into any settlement agreements or release |
| 653 | agreements discharging liability in exchange for an amount of |
| 654 | consideration agreed to by the parties. If the parties reach |
| 655 | such agreement without the assistance of their respective |
| 656 | attorneys, an attorney fee shall be payable to the plaintiff's |
| 657 | attorney for an amount not to exceed 25 percent of the agreed- |
| 658 | upon consideration for the settlement and release, regardless of |
| 659 | any other contractual arrangement for attorney fees that may |
| 660 | exist. |
| 661 | Section 12. Subsections (3) and (4) of section 768.81, |
| 662 | Florida Statutes, are amended to read: |
| 663 | 768.81 Comparative fault.-- |
| 664 | (3) APPORTIONMENT OF DAMAGES.--In cases to which this |
| 665 | section applies, the court shall enter judgment against each |
| 666 | party liable on the basis of such party's percentage of fault |
| 667 | and not on the basis of the doctrine of joint and several |
| 668 | liability., except as provided in paragraphs (a), (b), and (c): |
| 669 | (a) Where a plaintiff is found to be at fault, the |
| 670 | following shall apply: |
| 671 | 1. Any defendant found 10 percent or less at fault shall |
| 672 | not be subject to joint and several liability. |
| 673 | 2. For any defendant found more than 10 percent but less |
| 674 | than 25 percent at fault, joint and several liability shall not |
| 675 | apply to that portion of economic damages in excess of $200,000. |
| 676 | 3. For any defendant found at least 25 percent but not |
| 677 | more than 50 percent at fault, joint and several liability shall |
| 678 | not apply to that portion of economic damages in excess of |
| 679 | $500,000. |
| 680 | 4. For any defendant found more than 50 percent at fault, |
| 681 | joint and several liability shall not apply to that portion of |
| 682 | economic damages in excess of $1 million. |
| 683 |
|
| 684 | For any defendant under subparagraph 2., subparagraph 3., or |
| 685 | subparagraph 4., the amount of economic damages calculated under |
| 686 | joint and several liability shall be in addition to the amount |
| 687 | of economic and noneconomic damages already apportioned to that |
| 688 | defendant based on that defendant's percentage of fault. |
| 689 | (b) Where a plaintiff is found to be without fault, the |
| 690 | following shall apply: |
| 691 | 1. Any defendant found less than 10 percent at fault shall |
| 692 | not be subject to joint and several liability. |
| 693 | 2. For any defendant found at least 10 percent but less |
| 694 | than 25 percent at fault, joint and several liability shall not |
| 695 | apply to that portion of economic damages in excess of $500,000. |
| 696 | 3. For any defendant found at least 25 percent but not |
| 697 | more than 50 percent at fault, joint and several liability shall |
| 698 | not apply to that portion of economic damages in excess of $1 |
| 699 | million. |
| 700 | 4. For any defendant found more than 50 percent at fault, |
| 701 | joint and several liability shall not apply to that portion of |
| 702 | economic damages in excess of $2 million. |
| 703 |
|
| 704 | For any defendant under subparagraph 2., subparagraph 3., or |
| 705 | subparagraph 4., the amount of economic damages calculated under |
| 706 | joint and several liability shall be in addition to the amount |
| 707 | of economic and noneconomic damages already apportioned to that |
| 708 | defendant based on that defendant's percentage of fault. |
| 709 | (c) With respect to any defendant whose percentage of |
| 710 | fault is less than the fault of a particular plaintiff, the |
| 711 | doctrine of joint and several liability shall not apply to any |
| 712 | damages imposed against the defendant. |
| 713 | (d) In order to allocate any or all fault to a nonparty, a |
| 714 | defendant must affirmatively plead the fault of a nonparty and, |
| 715 | absent a showing of good cause, identify the nonparty, if known, |
| 716 | or describe the nonparty as specifically as practicable, either |
| 717 | by motion or in the initial responsive pleading when defenses |
| 718 | are first presented, subject to amendment any time before trial |
| 719 | in accordance with the Florida Rules of Civil Procedure. |
| 720 | (e) In order to allocate any or all fault to a nonparty |
| 721 | and include the named or unnamed nonparty on the verdict form |
| 722 | for purposes of apportioning damages, a defendant must prove at |
| 723 | trial, by a preponderance of the evidence, the fault of the |
| 724 | nonparty in causing the plaintiff's injuries. |
| 725 | (4) APPLICABILITY.-- |
| 726 | (a) This section applies to negligence cases. For purposes |
| 727 | of this section, "negligence cases" includes, but is not limited |
| 728 | to, civil actions for damages based upon theories of negligence, |
| 729 | strict liability, products liability, professional malpractice |
| 730 | whether couched in terms of contract or tort, or breach of |
| 731 | warranty and like theories, including actions for negligence |
| 732 | against any defendant for failure to prevent commission of an |
| 733 | intentional tort by another. In determining whether a case falls |
| 734 | within the term "negligence cases," the court shall look to the |
| 735 | substance of the action and not the conclusory terms used by the |
| 736 | parties. |
| 737 | (b) This section does not apply to any action brought by |
| 738 | any person to recover actual economic damages resulting from |
| 739 | pollution, to any action in which an intentional tortfeasor is |
| 740 | sued and seeks to apportion fault to a negligent tortfeasor |
| 741 | based upon an intentional tort, or to any cause of action as to |
| 742 | which application of the doctrine of joint and several liability |
| 743 | is specifically provided by chapter 403, chapter 498, chapter |
| 744 | 517, chapter 542, or chapter 895. |
| 745 | Section 13. Section 324.031, Florida Statutes, is amended |
| 746 | to read: |
| 747 | 324.031 Manner of proving financial responsibility.--The |
| 748 | owner or operator of a taxicab, limousine, jitney, or any other |
| 749 | for-hire passenger transportation vehicle may prove financial |
| 750 | responsibility by providing satisfactory evidence of holding a |
| 751 | motor vehicle liability policy as defined in s. 324.021(8) or s. |
| 752 | 324.151, which policy is issued by an insurance carrier which is |
| 753 | a member of the Florida Insurance Guaranty Association. The |
| 754 | operator or owner of any other vehicle may prove his or her |
| 755 | financial responsibility by: |
| 756 | (1) Furnishing satisfactory evidence of holding a motor |
| 757 | vehicle liability policy as defined in ss. 324.021(8) and |
| 758 | 324.151; |
| 759 | (2) Posting with the department a satisfactory bond of a |
| 760 | surety company authorized to do business in this state, |
| 761 | conditioned for payment of the amount specified in s. |
| 762 | 324.021(7); |
| 763 | (3) Furnishing a certificate of the department showing a |
| 764 | deposit of cash or securities in accordance with s. 324.161; or |
| 765 | (4) Furnishing a certificate of self-insurance issued by |
| 766 | the department in accordance with s. 324.171. |
| 767 |
|
| 768 | Any person, including any firm, partnership, association, |
| 769 | corporation, or other person, other than a natural person, |
| 770 | electing to use the method of proof specified in subsection (2) |
| 771 | or subsection (3) shall post a bond or deposit equal to the |
| 772 | number of vehicles owned times $30,000, to a maximum of |
| 773 | $120,000; in addition, any such person, other than a natural |
| 774 | person, shall maintain insurance providing coverage in excess of |
| 775 | limits of $10,000/20,000/10,000 or $30,000 combined single |
| 776 | limits, and such excess insurance shall provide minimum limits |
| 777 | of $125,000/250,000/50,000 or $300,000 combined single limits. |
| 778 | These increased limits shall not affect the requirements for |
| 779 | proving financial responsibility under s. 324.032(1). |
| 780 | Section 14. Sections 324.032 and 768.1257, Florida |
| 781 | Statutes, are repealed. |
| 782 | Section 15. If any provision of this act or its |
| 783 | application to any person or circumstance is held invalid, the |
| 784 | invalidity does not affect other provisions or applications of |
| 785 | this act which can be given effect without the invalid provision |
| 786 | or application, and to this end, the provisions of this act are |
| 787 | declared severable. |
| 788 | Section 16. This act shall take effect upon becoming a law |
| 789 | and shall apply to causes of action that accrue on or after the |
| 790 | effective date. |