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Congress Approves Tort Reform Bill
On July 28, Congress approved a medical malpractice reform bill that would cap non-economic damages at $250,000 and limit punitive damages to $250,000 or twice the economic damages, whichever is greater. Multiple defendants could be held liable only for that portion of harm attributable to them. A limitation would also be placed on contingency fees attorneys in med-mal litigations could earn. One of the more controversial aspects of the bill is that it would protect drug and device manufacturers from being sued for punitive damages by those injured by the drugs or devices if such products were approved by the FDA. Medical practitioners who prescribe any such FDA-approved drug or device could not be named as defendants in any action for product liability. The bill, HR-5, is substantially the same as bills that have passed in Congress before but were later rejected by the Senate.
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