MISSISSIPPI LEGISLATURE

2002 3rd Extraordinary Session

To: Select Senate Cmte on Civil Justice Syst

By: Senator(s) Turner, Little, Robertson

Senate Bill 2017

AN ACT TO AMEND SECTION 85-5-7, MISSISSIPPI CODE OF 1972, AS AMENDED BY HOUSE BILL NO. 2, 2002 THIRD EXTRAORDINARY SESSION, TO REVISE THE LIMITATION OF JOINT AND SEVERAL LIABILITY FOR DAMAGES CAUSED BY TWO OR MORE PERSONS; TO AMEND SECTION 11-1-63, MISSISSIPPI CODE OF 1972, TO REVISE THE REQUIRED TIME OF NOTICE TO A MANUFACTURER IN ORDER FOR A SELLER TO BE INDEMNIFIED; TO AMEND SECTION 11-1-65, MISSISSIPPI CODE OF 1972, TO IMPOSE A LIMITATION ON PUNITIVE DAMAGES; TO PROVIDE IMMUNITY FOR A PREMISES OWNER UNDER CERTAIN CIRCUMSTANCES; TO PROVIDE THAT CIVIL ACTIONS SHALL NOT BE ASSIGNED TO A JUDGE UNTIL AT LEAST ONE DEFENDANT HAS FILED A RESPONSIVE PLEADING; TO PROVIDE THAT THE AUTHORITY TO SUE ANY FIREARMS OR AMMUNITION MANUFACTURER, DISTRIBUTOR OR DEALER ON BEHALF OF LOCAL GOVERNMENTAL ENTITIES FOR CERTAIN CAUSES OF ACTION SHALL BE EXCLUSIVELY RESERVED TO THE STATE; TO PROHIBIT RECOVERY OF HEDONIC DAMAGES IN CIVIL ACTIONS; TO AMEND SECTION 11-7-13, MISSISSIPPI CODE OF 1972, IN CONFORMITY THERETO; TO PROHIBIT ATTORNEY ADVERTISING BY ATTORNEYS NOT ADMITTED TO PRACTICE IN MISSISSIPPI; TO PROVIDE AN ASSESSMENT FOR FILING FRIVOLOUS CLAIMS; TO REPEAL SECTIONS 11-3-23 AND 11-3-25, MISSISSIPPI CODE OF 1972, WHICH PROVIDE FOR THE ASSESSMENT OF A PENALTY ON CERTAIN JUDGMENTS APPEALED TO THE SUPREME COURT; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 85-5-7, Mississippi Code of 1972, as amended by House Bill No. 2, Third Extraordinary Session 2002, is amended as follows:

     85-5-7.  (1)  As used in this section "fault" means an act or omission of a person which is a proximate cause of injury or death to another person or persons, damages to property, tangible or intangible, or economic injury, including, but not limited to, negligence, malpractice, strict liability, absolute liability or failure to warn.  "Fault" shall not include any tort which results from an act or omission committed with a specific wrongful intent.

     (2)  Except as may be otherwise provided in subsections (6) and (8) of this section, in any civil action based on fault, the liability for damages caused by two (2) or more persons shall be joint and several only to the extent necessary for the person suffering injury, death or loss to recover fifty percent (50%) of his recoverable damages.

     (3)  Except as otherwise provided in subsections (2), (6) and (8) of this section, in any civil action based on fault, the liability for damages caused by two (2) or more persons shall be several only, and not joint and several and a joint tort-feasor shall be liable only for the amount of damages allocated to him in direct proportion to his percentage of fault.  In assessing percentages of fault an employer and the employer's employee or a principal and the principal's agent shall be considered as one (1) defendant when the liability of such employer or principal has been caused by the wrongful or negligent act or omission of the employee or agent.

     (4)  Any defendant held jointly liable under this section shall have a right of contribution against fellow joint tort-feasors.  A defendant shall be held responsible for contribution to other joint tort-feasors only for the percentage of fault assessed to such defendant.

     (5)  Nothing in this section shall eliminate or diminish any defenses or immunities which currently exist, except as expressly noted herein.

     (6)  Joint and several liability shall be imposed on all who consciously and deliberately pursue a common plan or design to commit a tortious act, or actively take part in it.  Any person held jointly and severally liable under this section shall have a right of contribution from his fellow defendants acting in concert.

     (7)  In actions involving joint tort-feasors, the trier of fact shall determine the percentage of fault for each party alleged to be at fault.

     (8)  Except as provided in subsection (6) of this section, in any action * * * involving joint tort-feasors, the trier of fact shall determine the percentage of fault for each joint tort-feasor, including named parties and absent tort-feasors, without regard to whether the joint tort-feasor is immune from damages.  For noneconomic damages, a defendant's liability shall be several only.  For economic damages, for any defendant whose fault is determined to be less than thirty percent (30%), liability shall be several only and for any defendant whose fault is determined to be thirty percent (30%) or more, liability shall be joint and several only to the extent necessary for the person suffering injury, death or loss to recover fifty percent (50%) of his recoverable damages.  Fault allocated under this subsection to an immune tort-feasor or a tort-feasor whose liability is limited by law shall not be reallocated to any other tort-feasor.

     (9)  Nothing in this section shall be construed to create a cause of action.  Nothing in this section shall be construed, in any way, to alter the immunity of any person.

     SECTION 2.  Section 11-1-63, Mississippi Code of 1972, is amended as follows:

     11-1-63.  In any action for damages caused by a product except for commercial damage to the product itself:

          (a)  The manufacturer or seller of the product shall not be liable if the claimant does not prove by the preponderance of the evidence that at the time the product left the control of the manufacturer or seller:

              (i)  1.  The product was defective because it deviated in a material way from the manufacturer's specifications or from otherwise identical units manufactured to the same manufacturing specifications, or

                   2.  The product was defective because it failed to contain adequate warnings or instructions, or

                   3.  The product was designed in a defective manner, or

                   4.  The product breached an express warranty or failed to conform to other express factual representations upon which the claimant justifiably relied in electing to use the product; and

              (ii)  The defective condition rendered the product unreasonably dangerous to the user or consumer; and

              (iii)  The defective and unreasonably dangerous condition of the product proximately caused the damages for which recovery is sought.

          (b)  A product is not defective in design or formulation if the harm for which the claimant seeks to recover compensatory damages was caused by an inherent characteristic of the product which is a generic aspect of the product that cannot be eliminated without substantially compromising the product's usefulness or desirability and which is recognized by the ordinary person with the ordinary knowledge common to the community.

          (c)  (i)  In any action alleging that a product is defective because it failed to contain adequate warnings or instructions pursuant to paragraph (a)(i)2 of this section, the manufacturer or seller shall not be liable if the claimant does not prove by the preponderance of the evidence that at the time the product left the control of the manufacturer or seller, the manufacturer or seller knew or in light of reasonably available knowledge should have known about the danger that caused the damage for which recovery is sought and that the ordinary user or consumer would not realize its dangerous condition.

              (ii)  An adequate product warning or instruction is one that a reasonably prudent person in the same or similar circumstances would have provided with respect to the danger and that communicates sufficient information on the dangers and safe use of the product, taking into account the characteristics of, and the ordinary knowledge common to an ordinary consumer who purchases the product; or in the case of a prescription drug, medical device or other product that is intended to be used only under the supervision of a physician or other licensed professional person, taking into account the characteristics of, and the ordinary knowledge common to, a physician or other licensed professional who prescribes the drug, device or other product.

          (d)  In any action alleging that a product is defective pursuant to paragraph (a) of this section, the manufacturer or seller shall not be liable if the claimant (i) had knowledge of a condition of the product that was inconsistent with his safety; (ii) appreciated the danger in the condition; and (iii) deliberately and voluntarily chose to expose himself to the danger in such a manner to register assent on the continuance of the dangerous condition.

          (e)  In any action alleging that a product is defective pursuant to paragraph (a)(i)2 of this section, the manufacturer or seller shall not be liable if the danger posed by the product is known or is open and obvious to the user or consumer of the product, or should have been known or open and obvious to the user or consumer of the product, taking into account the characteristics of, and the ordinary knowledge common to, the persons who ordinarily use or consume the product.

          (f)  In any action alleging that a product is defective because of its design pursuant to paragraph (a)(i)3 of this section, the manufacturer or product seller shall not be liable if the claimant does not prove by the preponderance of the evidence that at the time the product left the control of the manufacturer or seller:

              (i)  The manufacturer or seller knew, or in light of reasonably available knowledge or in the exercise of reasonable care should have known, about the danger that caused the damage for which recovery is sought; and

              (ii)  The product failed to function as expected and there existed a feasible design alternative that would have to a reasonable probability prevented the harm.  A feasible design alternative is a design that would have to a reasonable probability prevented the harm without impairing the utility, usefulness, practicality or desirability of the product to users or consumers.

          (g)  (i)  The manufacturer of a product who is found liable for a defective product pursuant to paragraph (a) shall indemnify a product seller for the costs of litigation, any reasonable expenses, reasonable attorney's fees and any damages awarded by the trier of fact unless the seller exercised substantial control over that aspect of the design, testing, manufacture, packaging or labeling of the product that caused the harm for which recovery of damages is sought; the seller altered or modified the product, and the alteration or modification was a substantial factor in causing the harm for which recovery of damages is sought; the seller had actual knowledge of the defective condition of the product at the time he supplied same; or the seller made an express factual representation about the aspect of the product which caused the harm for which recovery of damages is sought.

              (ii)  Subparagraph (i) shall not apply unless the seller has given prompt notice of the suit to the manufacturer within ninety (90) days of the service of the complaint against the seller.

          (h)  Nothing in this section shall be construed to eliminate any common law defense to an action for damages caused by a product.

     SECTION 3.  Section 11-1-65, Mississippi Code of 1972, is amended as follows:

     11-1-65.  (1)  In any action in which punitive damages are sought:

          (a)  Punitive damages may not be awarded if the claimant does not prove by clear and convincing evidence that the defendant against whom punitive damages are sought acted with actual malice, gross negligence which evidences a willful, wanton or reckless disregard for the safety of others, or committed actual fraud.

          (b)  In any action in which the claimant seeks an award of punitive damages, the trier of fact shall first determine whether compensatory damages are to be awarded and in what amount, before addressing any issues related to punitive damages.

          (c)  If, but only if, an award of compensatory damages has been made against a party, the court shall promptly commence an evidentiary hearing before the same trier of fact to determine whether punitive damages may be considered.

          (d)  The court shall determine whether the issue of punitive damages may be submitted to the trier of fact; and, if so, the trier of fact shall determine whether to award punitive damages and in what amount.

          (e)  In all cases involving an award of punitive damages, the fact finder, in determining the amount of punitive damages, shall consider, to the extent relevant, the following: the defendant's financial condition and net worth; the nature and reprehensibility of the defendant's wrongdoing, for example, the impact of the defendant's conduct on the plaintiff, or the relationship of the defendant to the plaintiff; the defendant's awareness of the amount of harm being caused and the defendant's motivation in causing such harm; the duration of the defendant's misconduct and whether the defendant attempted to conceal such misconduct; and any other circumstances shown by the evidence that bear on determining a proper amount of punitive damages.  The trier of fact shall be instructed that the primary purpose of punitive damages is to punish the wrongdoer and deter similar misconduct in the future by the defendant and others while the purpose of compensatory damages is to make the plaintiff whole.

          (f)  (i)  Before entering judgment for an award of punitive damages the trial court shall ascertain that the award is reasonable in its amount and rationally related to the purpose to punish what occurred giving rise to the award and to deter its repetition by the defendant and others.

              (ii)  In determining whether the award is excessive, the court shall take into consideration the following factors:

                   1.  Whether there is a reasonable relationship between the punitive damage award and the harm likely to result from the defendant's conduct as well as the harm that actually occurred;

                   2.  The degree of reprehensibility of the defendant's conduct, the duration of that conduct, the defendant's awareness, any concealment, and the existence and frequency of similar past conduct;

                   3.  The financial condition and net worth of the defendant; and

                   4.  In mitigation, the imposition of criminal sanctions on the defendant for its conduct and the existence of other civil awards against the defendant for the same conduct.

     (2)  The seller of a product other than the manufacturer shall not be liable for punitive damages unless the seller exercised substantial control over that aspect of the design, testing, manufacture, packaging or labeling of the product that caused the harm for which recovery of damages is sought; the seller altered or modified the product, and the alteration or modification was a substantial factor in causing the harm for which recovery of damages is sought; the seller had actual knowledge of the defective condition of the product at the time he supplied same; or the seller made an express factual representation about the aspect of the product which caused the harm for which recovery of damages is sought.

     (3)  (a)  In all civil actions where an entitlement to punitive damages shall have been established under applicable laws, no award of punitive damages shall exceed the following unless the finder of fact and court find by clear and convincing evidence that the defendant acted with criminal intent to cause serious physical bodily injury:

              (i)  Ten (10) times the total amount of compensatory damages not to exceed One Million Dollars ($1,000,000.00), if the total amount of compensatory damages is One Hundred Thousand Dollars ($100,000.00) or less;

              (ii)  Eight (8) times the total amount of compensatory damages not to exceed Two Million Dollars ($2,000,000.00), if the total amount of compensatory damages is more than One Hundred Thousand Dollars ($100,000.00) but not more than Two Hundred Fifty Thousand Dollars ($250,000.00); provided, however, if the amount of punitive damages, as computed by multiplying total compensatory damages times the multiple provided in this subparagraph (ii), is less than the maximum dollar amount allowed for punitive damages in subparagraph (i), then the maximum amount of punitive damages allowed under this subparagraph (ii) shall be the maximum dollar amount allowed in subparagraph (i);

              (iii)  Six (6) times the total amount of compensatory damages not to exceed Three Million Dollars ($3,000,000.00), if the total amount of compensatory damages is more than Two Hundred Fifty Thousand Dollars ($250,000.00) but not more than Five Hundred Thousand Dollars ($500,000.00); provided, however, if the amount of punitive damages, as computed by multiplying total compensatory damages times the multiple provided in this subparagraph (iii), is less than the maximum dollar amount allowed for punitive damages in subparagraph (ii), then the maximum amount of punitive damages allowed under this subparagraph (iii) shall be the maximum dollar amount allowed in subparagraph (ii);

              (iv)  Four (4) times the total amount of compensatory damages not to exceed Four Million Dollars ($4,000,000.00), if the total amount of compensatory damages is more than Five Hundred Thousand Dollars ($500,000.00) but not more than One Million Dollars ($1,000,000.00); provided, however, if the amount of punitive damages, as computed by multiplying total compensatory damages times the multiple provided in this subparagraph (iv), is less than the maximum dollar amount allowed for punitive damages in subparagraph (iii), then the maximum amount of punitive damages allowed under this subparagraph (iv) shall be the maximum dollar amount allowed in subparagraph (iii); or

              (v)  Three (3) times the total amount of compensatory damages not to exceed Twenty Million Dollars ($20,000,000.00), if the total amount of compensatory damages is more than One Million Dollars ($1,000,000.00); provided, however, if the amount of punitive damages, as computed by multiplying total compensatory damages times the multiple provided in this subparagraph (v), is less than the maximum dollar amount allowed for punitive damages in subparagraph (iv), then the maximum amount of punitive damages allowed under this subparagraph (v) shall be the maximum dollar amount allowed in subparagraph (iv).

          (b)  The limitation in this subsection (3) shall not be disclosed to the trier of fact, but shall be applied by the court to any punitive damages verdict.

     (4)  Nothing herein shall be construed as creating a right to an award of punitive damages or to limit the duty of the court, or the appellate courts, to scrutinize all punitive damage awards, ensure that all punitive damage awards comply with applicable procedural, evidentiary and constitutional requirements, and to order remittitur where appropriate.

     (5)  Subsections (1) and (2) of Section 11-1-65 shall not apply to:

          (a)  Contracts;

          (b)  Libel and slander; or

          (c)  Causes of action for persons and property arising out of asbestos.

     SECTION 4.  No owner, lessee or person in control of any property or premises shall be held liable for failing to prevent or failing to deter any act or omission committed by another person upon such property or premises that is a reckless, wanton, intentionally wrongful, illegal or criminal act.

     SECTION 5.  Civil actions in circuit, chancery and county court shall not be assigned to a judge until at least one (1) defendant has filed a responsive pleading.  However, any necessary preliminary matters may be decided by a judge on a separate rotating basis before assignment of the action to a particular judge.

     SECTION 6.  (1)  The authority to bring an action against any firearms or ammunition manufacturer, distributor or dealer duly licensed under federal law on behalf of any governmental entity created by or pursuant to an act of the Mississippi Legislature or the Mississippi Constitution of 1890, or any department, agency or authority thereof, for damages, abatement, injunctive relief or any other relief or remedy resulting from or relating to the lawful design, manufacture, distribution or sale of firearms, firearm components, silencers, ammunition or ammunition components to the public, shall be exclusively reserved to the state.  This section shall not prohibit a political subdivision from bringing an action against a firearm or ammunition manufacturer, distributor or dealer for breach of contract or warranty as to firearms or ammunition purchased by the political subdivision, or for injuries resulting from a firearm malfunction due to defects in materials or workmanship.

     (2)  "Political subdivision" and "governmental entity" shall have the meanings ascribed in Section 11-46-1.

     SECTION 7.  (1)  In any civil action for personal injury there may be a recovery for pain and suffering and loss of enjoyment of life.  However, there shall be no recovery for loss of enjoyment of life as a separate element of damages apart from pain and suffering damages, and there shall be no instruction given to the jury which separates loss of enjoyment of life from pain and suffering.  The determination of the existence and extent of recovery for pain and suffering and loss of enjoyment of life shall be a question for the finder of fact, subject to appellate review, and shall not be made the subject of expert testimony.

     (2)  In any wrongful death action, there shall be no recovery for loss of enjoyment of life caused by death.

     SECTION 8.  Section 11-7-13, Mississippi Code of 1972, is amended as follows:

     11-7-13.  Whenever the death of any person shall be caused by any real, wrongful or negligent act or omission, or by such unsafe machinery, way or appliances as would, if death had not ensued, have entitled the party injured or damaged thereby to maintain an action and recover damages in respect thereof, or whenever the death of any person shall be caused by the breach of any warranty, express or implied, of the purity or fitness of any foods, drugs, medicines, beverages, tobacco or any and all other articles or commodities intended for human consumption, as would, had the death not ensued, have entitled the person injured or made ill or damaged thereby, to maintain an action and recover damages in respect thereof, and such deceased person shall have left a widow or children or both, or husband or father or mother, or sister, or brother, the person or corporation, or both that would have been liable if death had not ensued, and the representatives of such person shall be liable for damages, notwithstanding the death, and the fact that death was instantaneous shall in no case affect the right of recovery.  The action for such damages may be brought in the name of the personal representative of the deceased person for the benefit of all persons entitled under the law to recover, or by widow for the death of her husband, or by the husband for the death of the wife, or by the parent for the death of a child, or in the name of a child, or in the name of a child for the death of a parent, or by a brother for the death of a sister, or by a sister for the death of a brother, or by a sister for the death of a sister, or a brother for the death of a brother, or all parties interested may join in the suit, and there shall be but one (l) suit for the same death which shall ensue for the benefit of all parties concerned, but the determination of such suit shall not bar another action unless it be decided on its merits.  Except as otherwise provided in Section 7 of Senate Bill No. 2017, 2002 Third Extraordinary Session, in such action the party or parties suing shall recover such damages allowable by law as the jury may determine to be just, taking into consideration all the damages of every kind to the decedent and all damages of every kind to any and all parties interested in the suit.

     This section shall apply to all personal injuries of servants and employees received in the service or business of the master or employer, where such injuries result in death, and to all deaths caused by breach of warranty, either express or implied, of the purity and fitness of foods, drugs, medicines, beverages, tobacco or other articles or commodities intended for human consumption.

     Any person entitled to bring a wrongful death action may assert or maintain a claim for any breach of expressed warranty or for any breach of implied warranty.  A wrongful death action may be maintained or asserted for strict liability in tort or for any cause of action known to the law for which any person, corporation, legal representative or entity would be liable for damages if death had not ensued.

     In an action brought pursuant to the provisions of this section by the widow, husband, child, father, mother, sister or brother of the deceased, or by all interested parties, such party or parties may recover as damages property damages and funeral, medical or other related expenses incurred by or for the deceased as a result of such wrongful or negligent act or omission or breach of warranty, whether an estate has been opened or not.  Any amount, but only such an amount, as may be recovered for property damage, funeral, medical or other related expenses shall be subject only to the payment of the debts or liabilities of the deceased for property damages, funeral, medical or other related expenses.  All other damages recovered under the provisions of this section shall not be subject to the payment of the debts or liabilities of the deceased, except as hereinafter provided, and such damages shall be distributed as follows:

     Damages for the injury and death of a married man shall be equally distributed to his wife and children, and if he has no children all shall go to his wife; damages for the injury and death of a married woman shall be equally distributed to the husband and children, and if she has no children all shall go to the husband; and if the deceased has no husband or wife, the damages shall be equally distributed to the children; if the deceased has no husband, nor wife, nor children, the damages shall be distributed equally to the father, mother, brothers and sisters, or such of them as the deceased may have living at his or her death.  If the deceased have neither husband, nor wife, nor children, nor father, nor mother, nor sister, nor brother, then the damages shall go to the legal representative, subject to debts and general distribution, and the fact that the deceased was instantly killed shall not affect the right of the legal representative to recover.  All references in this section to children shall include descendants of a deceased child, such descendants to take the share of the deceased child by representation.  There shall not be, in any case, a distinction between the kindred of the whole and half blood of equal degree. The provisions of this section shall apply to illegitimate children on account of the death of the mother and to the mother on account of the death of an illegitimate child or children, and they shall have all the benefits, rights and remedies conferred by this section on legitimates.  The provisions of this section shall apply to illegitimate children on account of the death of the natural father and to the natural father on account of the death of the illegitimate child or children, and they shall have all the benefits, rights and remedies conferred by this section on legitimates, if the survivor has or establishes the right to inherit from the deceased under Section 91-1-15.

     Any rights which a blood parent or parents may have under this section are hereby conferred upon and vested in an adopting parent or adopting parents surviving their deceased adopted child, just as if the child were theirs by the full blood and had been born to the adopting parents in lawful wedlock.

     SECTION 9.  The Legislature recognizes that attorneys should be licensed by the State of Mississippi before engaging in any solicitation of clients in this state.  Such licensing of attorneys protects the people of Mississippi in that The Mississippi Bar has direct jurisdiction over attorneys licensed by it.  The Mississippi Supreme Court can act against such licensed attorneys in the event that such licensed attorneys commit violations of Mississippi law, court rules and rules of ethics for attorneys.  The Legislature finds that this section is necessary for the protection of the people of Mississippi.  An attorney who is not admitted to The Mississippi Bar shall not advertise his legal services in this state for the purpose of soliciting prospective clients for the commencing of any civil action in this state, or for the purpose of soliciting clients for any civil action already commenced or pending in this state, unless the attorney who is not a member of The Mississippi Bar has associated an attorney who (a) is a member of The Mississippi Bar; and (b) will be associated and actively working on substantial aspects in any civil action filed on behalf of a client solicited as a result of the advertisement.  A law firm composed of both attorneys who are members of The Mississippi Bar and attorneys who are not members of The Mississippi Bar may advertise in this state if a majority of the members of the firm are members of The Mississippi Bar.  For purposes of this section, a listing in the residential or business section of the white pages of a telephone book shall not be an advertisement.

     SECTION 10.  If a party files any pleading in a civil action, which in the opinion of the court is frivolous, the court may impose an assessment of not more than One Thousand Dollars ($1,000.00) against each party and attorney of record for the party filing the pleading.  Such assessment shall be in addition to any other assessments, penalties or sanctions authorized by law or otherwise.  The proceeds of any assessment imposed under this section shall be paid to the Mississippi Volunteer Lawyers Project, Inc.

     SECTION 11.  Sections 11-3-23 and 11-3-25, Mississippi Code of 1972, which provide for the assessment of a penalty on the appeal of certain judgments to the Supreme Court, are repealed.

     SECTION 12.  If any provision of this act is held by a court to be invalid, such invalidity shall not affect the remaining provisions of this act, and to this end the provisions of this act are declared severable.

     SECTION 13.  This act shall take effect and be in force from and after January 1, 2003, and shall apply to all causes of action filed on or after that date.