The 60 Second Update with

Governor Haley Barbour

5. What are the 5 most important reforms Mississippi implemented that other states should adopt?

From Mississippi’s experience there are five major elements of tort reform:

Venue Reforms – Frivolous lawsuits were often filed in jurisdictions with a history of high verdicts.  The new law reformed venues to require trial in the county where the event in question occurred.

Damage Caps – Non-economic damages were hard capped at $500,000 in medical malpractice and $1 million in all other cases.  This removed the damage escalations and significant loopholes in previous legislation.

Joint Liability – Mississippi’s tort reform law eliminated joint liability and made defendants only responsible for the damages they caused.  Under the previous law, a doctor, for example, could be allocated fault and damages beyond their reasonable share.

Innocent Seller – A seller of a product (including medical equipment) can not be held liable unless he had control over the design, testing, manufacturing, packaging, or labeling of a product – or had knowledge of the defect.  The 2004 reform eliminated a provision in the previous law that said even if a seller were found to be innocent and not liable, they would remain a defendant in the case.  This provision had been inserted to allow lawyers to keep cases in a particular jurisdiction, state court, or prevent it from being removed to federal court.

Allocation of Fault – Mississippi’s legislation allowed for the allocation of fault to an immune entity or other entity as defined by the tort claims act, such as a community hospital. 

Question 1. What is tort reform and how does it work?