SLS 18RS-7 ENGROSSED
2018 Regular Session
SENATE BILL NO. 390
BY SENATOR CLAITOR
SUITS AGAINST STATE. Provides for the order of payment of judgments and
compromises against the state, subject to funding. (gov sig)
1 AN ACT
2 To enact R.S. 13:5109(B)(3) through (5), relative to the payment of final nonappealable
3 judgments and compromises rendered against the state; to provide for the order
4 judgments and compromises are to be paid, subject to legislative appropriation; to
5 provide that the Joint Legislative Committee on the Budget may make changes to the
6 order on a case-by-case basis; to provide for an effective date; and to provide for
7 related matters.
8 Be it enacted by the Legislature of Louisiana:
9 Section 1. R.S. 13:5109(B)(3) through (5) are hereby enacted to read as follows:
10 ยง5109. Authority to compromise; judgment; notice of judgment; payments
11 * * *
12 B.
13 * * *
14 (3) To the extent that final nonappealable judgments or compromises
15 cannot be paid from the Self-Insurance Fund, any appropriated funds made
16 available to pay such judgments or compromises shall be allocated in the
17 following order:
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 390
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1 (a) First, lawsuits which are compromised when the amount to be paid
2 by the state per lawsuit is less than one hundred thousand dollars, including
3 judicial interest, with the oldest compromises being paid first.
4 (b) Second, lawsuits which have a final nonappealable judgment when
5 the amount the state is cast in judgment per lawsuit is less than one hundred
6 thousand dollars, including judicial interest, with the oldest judgments being
7 paid first.
8 (c) Third, lawsuits which are compromised when the amount to be paid
9 by the state per lawsuit is between one hundred thousand dollars, including
10 judicial interest, and two hundred fifty thousand dollars, including judicial
11 interest, with the oldest compromises being paid first.
12 (d) Fourth, lawsuits which have a final nonappealable judgment when
13 the total amount the state is cast in judgment per lawsuit is between one
14 hundred thousand dollars, including judicial interest, and two hundred fifty
15 thousand dollars, including judicial interest, with the oldest judgments being
16 paid first.
17 (e) Fifth, lawsuits which are compromised when the amount to be paid
18 by the state per lawsuit is in excess of two hundred fifty thousand dollars,
19 including judicial interest, with the oldest compromises being paid first.
20 (f) Sixth, lawsuits which have a final nonappealable judgment when the
21 total amount the state is cast in judgment is in excess of two hundred fifty
22 thousand dollars, including judicial interest, with the oldest judgments being
23 paid first.
24 (4) The state agency or department which is found to be at fault shall pay
25 five percent of the judgment from its appropriated funds.
26 (5) The Joint Legislative Committee on the Budget may allow changes
27 to the order set forth in Paragraph (3) of this Subsection on a case-by-case basis.
28 * * *
29 Section 2. This Act shall become effective upon signature by the governor or, if not
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1 signed by the governor, upon expiration of the time for bills to become law without signature
2 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
3 vetoed by the governor and subsequently approved by the legislature, this Act shall become
4 effective on the day following such approval.
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Martha S. Hess.
DIGEST
SB 390 Engrossed 2018 Regular Session Claitor
Present law provides that in any judgment rendered in any suit filed against the state, a state
agency, or any compromise reached in favor of the plaintiff or plaintiffs in any such suit
shall be exigible, payable, and paid only out of funds appropriated for that purpose by the
legislature, if the suit was filed against the state or a state agency.
Proposed law retains present law but to the extent that final nonappealable judgments or
compromises cannot be paid from the Self-Insurance Fund, any appropriated funds made
available to pay final such judgments or compromises shall be allocated in the following
order:
(1)First, lawsuits which are compromised when the amount to be paid by the state per
lawsuit is less than $100,000, including judicial interest, with the oldest
compromises being paid first.
(2)Second, lawsuits which have a final nonappealable judgment when the amount the
state is cast in judgment per lawsuit is an amount less than $100,000, including
judicial interest, with the oldest judgments being paid first.
(3) Third, lawsuits which are compromised when the amount to be paid by the state per
lawsuit is between $100,000, including judicial interest, and $250,000, including
judicial interest, with the oldest compromises being paid first.
(4)Fourth, lawsuits which have a final nonappealable judgment when the total amount
the state is cast in judgment is between $100,000, including judicial interest, and
$250,000, including judicial interest, with the oldest judgments being paid first.
(5)Fifth, lawsuits which are compromised when the amount to be paid by the state per
lawsuit is in excess of $250,000, including judicial interest, with the oldest
compromises being paid first.
(6) Sixth, lawsuits which have a final nonappealable judgment when the total amount
the state is cast in judgment is in excess of $250,000, including judicial interest, with
the oldest judgments being paid first.
Proposed law further provides that the state agency or department which is found to be at
fault shall pay five percent of the judgment from its appropriated funds.
Proposed law also authorizes the Joint Legislative Committee on the Budget to allow
changes to the order set forth in proposed law on a case-by-case basis.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Adds R.S. 13:5109(B)(3)-(5))
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Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Finance to the original
bill
1. Provides that proposed law does not apply to judgments or compromises that
can be paid from the Self-Insurance Fund.
2. Clarifies that all of the dollar amounts include judicial interest.
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.