Iowa 2025-2026 Regular Session

Iowa Senate Bill SF77

Introduced
1/22/25  

Caption

A bill for an act relating to tort liability in civil actions involving commercial motor vehicles, including employer liability, noneconomic damages, punitive damages, and exemplary damages.

Impact

One of the critical aspects of SF77 is the elimination of the current cap on noneconomic damages for personal injury or death claims against owners or operators of commercial motor vehicles, which is set at $5 million. The repeal of this cap could lead to larger financial liabilities for employers, influencing how businesses manage their risk and insurance policies. The bill also limits the distribution of punitive damages, specifying that in cases involving commercial vehicles, only 25% of punitive damages will be awarded to the claimant, while the remaining funds would be directed to a civil reparations trust fund designed to assist indigent civil litigants and insurance programs.

Summary

Senate File 77 addresses tort liability in civil actions involving commercial motor vehicles. The bill proposes significant changes to the current legal framework governing employer liability when their employees are involved in negligent actions while operating commercial vehicles. Under existing law, employers could be shielded from claims of direct negligence if they made certain stipulations, particularly regarding their employees' status during the incident. SF77 seeks to repeal these protective measures, holding employers liable for their employees' negligence and potentially for their own direct negligence relating to hiring, training, or supervising employees.

Contention

Debate around SF77 is likely to center on the balance between protecting consumers and the potential financial burden placed on businesses. Supporters of the bill argue that it strengthens accountability for employers and enhances victim rights, allowing for fairer compensation in cases of negligence. Conversely, opponents might contend that this could lead to excessive liabilities for employers, raising concern about how these changes may affect commercial vehicle operations and potentially increase costs for consumers through higher service prices.

Companion Bills

No companion bills found.

Previously Filed As

IA SF2224

A bill for an act relating to tort liability in civil actions involving commercial motor vehicles, including employer liability, noneconomic damages, punitive damages, and exemplary damages.

IA HF201

A bill for an act relating to tort liability, including employer liability and noneconomic damages in civil actions involving commercial motor vehicles, and punitive or exemplary damages in civil actions generally.(Formerly HSB 114.)

IA SSB1114

A bill for an act relating to tort liability, including employer liability and noneconomic damages in civil actions involving commercial motor vehicles, and punitive or exemplary damages in civil actions generally.(See SF 228.)

IA HSB114

A bill for an act relating to tort liability, including employer liability and noneconomic damages in civil actions involving commercial motor vehicles, and punitive or exemplary damages in civil actions generally.(See HF 201.)

IA SF228

A bill for an act relating to tort liability, including employer liability and damages in civil actions involving commercial motor vehicles. (Formerly SSB 1114.) Effective date: 07/01/2023.

IA SF2220

A bill for an act relating to noneconomic, punitive, and exemplary damage awards against health care providers and hospitals.

IA SF339

A bill for an act relating to damages owed by a party at fault in crashes and collisions involving commercial motor vehicles.(See SF 499.)

IA SF499

A bill for an act relating to damages owed by a party at fault in crashes and collisions involving commercial motor vehicles.(Formerly SF 339.)

IA SSB3013

A bill for an act relating to product liability actions, including defenses.

IA HSB508

A bill for an act relating to product liability actions, including defenses.

Similar Bills

No similar bills found.