In trying to get the Missouri economy up and running again after having been shut down for nearly a year, COVID-19 liability protection is a harbinger for business owners who fear they will not be able to open properly due to the pandemic, according to a civil justice reform advocate.
“COVID liability would give assurances to business owners that they would not be subject to liability for unreasonable situations,” Missouri Civil Justice Reform Coalition Executive Director Rich AuBuchon said. “Obviously, someone coming in that intends to harm another wouldn’t be covered.”
As previously reported in the St. Louis Record, COVID liability protection for businesses was tabled in December 2020 after Gov. Mike Parson cleared it from the special session agenda without a vote.
Tiger Joyce
“COVID-19 will probably be the first issue that gets looked at because this is obviously such a pressing issue and based on our information, no executive orders have really been issued in this regard,” American Tort Reform Association (ATRA) President Tiger Joyce said.
SB 42, which was introduced by Sen. Bill White (R-Joplin), and SB 51 introduced by Sen. Tony Luetkemeyer (R-Parkville), are two liability protection bills will be taken up in the upcoming session.
“COVID liability is leftover business,” Aubuchon told the St. Louis Record. “It is timely. It is important but if we do not get an emergency clause, then it is worthless.”
Liability protection would take effect as soon as Gov. Parsons signs the proposed bill if an emergency clause is included.
Coronavirus liability protection for healthcare providers and business owners is just one among several reforms that could possibly be addressed in 2021 by the Missouri legislature.
“There are a host of issues that have been cast aside over the years that will be back,” Aubuchon said in an interview. “Statute of limitations reform is on the table.”
Senate Bill 3, introduced by Republican Senator Dan Hegeman, modifies the statute of limitations for personal injury claims from five to two years.
“It has become a situation where evidence is lost and memories are fading,” Aubuchon said. “Five years is a tremendously long time for personal injury. Missouri has a two-year statute of limitations period on medical malpractice. We're not getting rid of claims. We're just saying they have to be brought sooner.”
Joyce foresees innovator liability as an issue that will emerge this year.
“We are seeing a lot of liability being assessed against brand name pharmaceutical manufacturers when the claim involves a generic version of the product,” Joyce told St. Louis Record. “So, defendants are brought into court who had nothing to do with the actual product that's involved.”
Another civil justice reform issue that Aubuchon expects to be voted on are "537065 Agreements," which mitigate punitive damage agreements and intervention in lawsuits for insurance companies.
“This has become a boutique industry in Missouri where plaintiffs made deals with defendants to cut out the insurance company and then sue the insurance company on behalf of the defendant for punitive damages,” Aubuchon said. “This raises insurance rates artificially, it increases the cost of litigation and is absolutely an anathema in Missouri and has to be stopped.”