EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0922*
HOUSE BILL 922
P1, D3 4lr2498
CF SB 680
By: The Speaker (By Request – Office of the Attorney General)
Introduced and read first time: February 2, 2024
Assigned to: Judiciary
A BILL ENTITLED
AN ACT concerning 1
State Government – Public Welfare Actions – Determinations and Settlements 2
FOR the purpose of requiring the factfinder in a public welfare action to make a certain 3
determination and assign responsibility and liability in a certain manner; 4
authorizing the State to continue to pursue certain actions if it does not obtain 5
complete relief from certain responsible persons; establishing that certain provisions 6
of law requiring uniform contribution among joint tort–feasors do not apply to public 7
welfare claims; establishing the impact of a certain settlement on the liability of 8
certain responsible persons; and generally relating to determinations and 9
settlements of public welfare actions. 10
BY adding to 11
Article – Courts and Judicial Proceedings 12
Section 3–1401.1 13
Annotated Code of Maryland 14
(2020 Replacement Volume and 2023 Supplement) 15
BY adding to 16
Article – State Government 17
Section 6–106.2 18
Annotated Code of Maryland 19
(2021 Replacement Volume and 2023 Supplement) 20
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 21
That the Laws of Maryland read as follows: 22
Article – Courts and Judicial Proceedings 23
3–1401.1. 24
2 HOUSE BILL 922
THIS TITLE DOES NOT A PPLY TO A PUBLIC WELFARE CLA IM BROUGHT UNDER 1
§ 6–106.2 OF THE STATE GOVERNMENT ARTICLE. 2
Article – State Government 3
6–106.2. 4
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 5
INDICATED. 6
(2) “PROPORTIONATE SHARE O F LIABILITY ” MEANS THE 7
PERCENTAGE OF COMPAR ATIVE RESPONSIBILITY ASSIGNED BY THE FACT FINDER TO 8
A SETTLING PARTY UND ER THIS SECTION. 9
(3) “PUBLIC WELFARE ACTION ” MEANS ANY CIVIL ACTI ON IN WHICH 10
THE STATE OR THE ATTORNEY GENERAL HAS AS SERTED A PUBLIC WELF ARE CLAIM. 11
(4) “PUBLIC WELFARE CLAIM ” MEANS ANY CLAIM, COUNTERCLAIM , 12
CROSS CLAIM , OR OTHER DEMAND FOR RELIEF OF ANY KIND BROUGHT OR 13
ASSERTED BY THE ATTORNEY GENERAL OR THE STATE UNDER COMMON LA W, 14
STATUTORY LAW , OR ANY OTHER BASIS : 15
(I) FOR CONSUMER PROTECT ION; OR 16
(II) ARISING FROM OR RELA TED TO ALLEGED INJUR IES TO OR 17
THREATENED INJURIES TO THE HEALTH , SAFETY, ENVIRONMENT , OR WELFARE OF 18
THE RESIDENTS OF MARYLAND. 19
(5) “RESPONSIBLE PERSON” MEANS ANY PERSON ALL EGEDLY LIABLE 20
IN WHOLE OR IN PART FOR ANY PUBLIC WELFARE C LAIM. 21
(B) IN A PUBLIC WELFARE A CTION, THE FACTFINDER SHALL : 22
(1) MAKE A DETERMINATION OF THE TOTAL LIABILI TY, INCLUDING 23
DAMAGES, COSTS, AND ALL OTHER AVAILA BLE RELIEF; 24
(2) ASSIGN COMPARATIVE R ESPONSIBILITY TO ALL PARTIES JOINED 25
IN THE PUBLIC WELFAR E ACTION, INCLUDING ALL DEFEND ANTS, THIRD–PARTY 26
DEFENDANTS , INTERVENORS , AND ANY OTHER NAMED PARTY, BASED ON THE 27
PARTY’S RELATIVE DEGREE OF FAULT OR RESPONSIBIL ITY FOR THE TOTAL 28
LIABILITY; AND 29
(3) IF EQUITY REQUIRES , DETERMINE THE LIABIL ITY OF A GROUP OF 30
RELATED PERSONS ON A COLLECTIVE BASIS . 31 HOUSE BILL 922 3
(C) IF THE STATE HAS NOT OBTAINE D COMPLETE RELIEF FROM A 1
RESPONSIBLE PERSON W HO HAS RESOLVED THE PERSON’S LIABILITY TO THE STATE 2
IN A SETTLEMENT FOR A PUBLIC WELFARE CLAIM , THE STATE MAY: 3
(1) CONTINUE TO PURSUE A N ONGOING PUBLIC WEL FARE ACTION 4
AGAINST ANY OTHER RE SPONSIBLE PERSON WHO HAS NOT RESOLVED THE 5
PERSON’S LIABILITY TO THE STATE FOR THE PUBLIC WELFARE CLAIM THAT I S THE 6
SUBJECT OF THE PUBLIC WELFARE A CTION; OR 7
(2) BRING A NEW PUBLIC W ELFARE ACTION AGAINS T ANY OTHER 8
RESPONSIBLE PERSON W HO HAS NOT RESOLVED THE PERSON’S LIABILITY TO THE 9
STATE FOR THE PUBLIC WELFARE CLAIM THAT I S THE SUBJECT OF THE PUBLIC 10
WELFARE ACTION . 11
(D) NOTWITHSTANDING ANY OTHER PROVISION OF STATE LAW: 12
(1) THE MARYLAND UNIFORM CONTRIBUTION AMONG JOINT 13
TORT–FEASORS ACT UNDER TITLE 3, SUBTITLE 14 OF THE COURTS ARTICLE DOES 14
NOT APPLY TO PUBLIC WELFARE CLAIMS ; 15
(2) IF A RESPONSIBLE PER SON RESOLVES THE PER SON’S LIABILITY 16
TO THE STATE IN A SETTLEMENT OF A PUBLIC WELFARE CLAIM, THE PERSON MAY 17
NOT BE LIABLE FOR CL AIMS FOR NONCONTRACT UAL CONTRIBUTION OR INDEMNITY 18
REGARDING ANY MATTER OR CLAIM ADDRESSED I N THE SETTLEMENT , INCLUDING 19
ANY STATUTORY OR COM MON LAW CLAIM ; AND 20
(3) A SETTLEMENT OF A PU BLIC WELFARE CLAIM T HAT RESOLVES 21
THE LIABILITY OF A R ESPONSIBLE PERSON : 22
(I) DOES NOT RELEASE FRO M LIABILITY ANY OTHE R 23
RESPONSIBLE PERSON E XCEPT AS SPECIFICALL Y PROVIDED IN THE TERMS OF THE 24
SETTLEMENT ; BUT 25
(II) REDUCES THE POTENTIA L LIABILITY OF ALL OTHER 26
RESPONSIBLE PERSONS LIABLE IN WHOLE OR I N PART FOR THE PUBLI C WELFARE 27
CLAIM THAT IS THE SU BJECT OF THE SETTLEM ENT BY THE SETTLING PERSON’S 28
PROPORTIONATE SHARE OF LIABILITY FOR ALL SETTLED PUBLI C WELFARE CLAIMS , 29
INCLUDING ALL STATUT ORY AND COMMON LAW C LAIMS. 30
(E) THIS SECTION MAY NOT BE CONSTRUED TO : 31
(1) IMPAIR ANY EXPRESS C ONTRACTUAL RIGHTS ; OR 32 4 HOUSE BILL 922
(2) GRANT AUTHORITY TO T HE STATE OR THE ATTORNEY GENERAL 1
TO BRING ACTIONS OR CLAIMS NOT OTHERW ISE AUTHORIZED BY LA W. 2
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 3
apply only prospectively and may not be applied or interpreted to have any effect on or 4
application to any settlement of a public welfare action finalized before the effective date of 5
this Act. 6
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 7
1, 2024. 8