EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. *sb0680* SENATE BILL 680 P1, D3 EMERGENCY BILL 4lr2692 CF HB 922 By: The President (By Request – Office of the Attorney General) Introduced and read first time: January 29, 2024 Assigned to: Judicial Proceedings Committee Report: Favorable with amendments Senate action: Adopted with floor amendments Read second time: March 25, 2024 CHAPTER ______ AN ACT concerning 1 State Government – Public Welfare Actions Attorney General – Determinations 2 and Settlements 3 FOR the purpose of requiring the factfinder judge or jury in a public welfare action certain 4 actions to make a certain determination and assign responsibility and liability in a 5 certain manner; authorizing the State to continue to pursue certain actions if it does 6 not obtain complete relief from certain responsible persons; establishing that certain 7 provisions of law requiring uniform contribution among joint tort–feasors do not 8 apply to public welfare claims certain actions; establishing the impact of a certain 9 settlement on the liability of certain responsible persons; and generally relating to 10 determinations and settlements by the Attorney General of public welfare actions 11 certain actions. 12 BY adding to 13 Article – Courts and Judicial Proceedings 14 Section 3–1401.1 15 Annotated Code of Maryland 16 (2020 Replacement Volume and 2023 Supplement) 17 BY adding to 18 Article – State Government 19 Section 6–106.2 20 Annotated Code of Maryland 21 (2021 Replacement Volume and 2023 Supplement) 22 2 SENATE BILL 680 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1 That the Laws of Maryland read as follows: 2 Article – Courts and Judicial Proceedings 3 3–1401.1. 4 THIS TITLE DOES NOT A PPLY TO A PUBLIC WEL FARE CLAIM BROUGHT U NDER 5 § 6–106.2 OF THE STATE GOVERNMENT ARTICLE. 6 Article – State Government 7 6–106.2. 8 (A) THIS SECTION APPLIES TO AN ACTION BROUGHT OR ASSERTED BY THE 9 STATE ARISING FROM OR RELATED TO A LLEGED OR THREATENED INJURIES TO THE 10 ENVIRONMENT , INFRASTRUCTURE , OR THE NATURAL RESOU RCES OF THE STATE 11 ASSOCIATED WITH THE ALLISION BETWEEN THE VESSEL KNOWN AS THE DALI AND 12 THE FRANCIS SCOTT KEY BRIDGE ON MARCH 26, 2024. 13 (B) (1) IN THIS SECTION THE FOL LOWING WORDS HAVE TH E MEANINGS 14 INDICATED. 15 (2) “PROPORTIONATE SHARE O F LIABILITY ” MEANS THE 16 PERCENTAGE OF COMPAR ATIVE RESPONSIBILITY ASSIGNED BY THE FACTFINDER A 17 JUDGE OR JURY TO A SETTLING PARTY UNDER IN ACCORDANCE WITH THIS SECTION. 18 (3) “PUBLIC WELFARE ACTION ” MEANS ANY CIVIL ACTI ON IN WHICH 19 THE STATE OR THE ATTORNEY GENERAL HAS ASSERTED A PUBLIC WELFARE CLA IM. 20 (4) “PUBLIC WELFARE CLAIM ” MEANS ANY CLAIM , COUNTERCLAIM , 21 CROSS CLAIM , OR OTHER DEMAND FOR RELIEF OF ANY KIND B ROUGHT OR 22 ASSERTED BY THE ATTORNEY GENERAL OR THE STATE UNDER COMMON LA W, 23 STATUTORY LAW , OR ANY OTHER BASIS : 24 (I) FOR CONSUMER PROTECT ION; OR 25 (II) ARISING FROM OR RELA TED TO ALLEGED INJUR IES TO OR 26 THREATENED INJURIES TO THE HEALTH , SAFETY, ENVIRONMENT , OR WELFARE OF 27 THE RESIDENTS OF MARYLAND. 28 (5) (3) “RESPONSIBLE PERSON ” MEANS ANY A PERSON 29 ALLEGEDLY ALLEGED TO BE LIABLE IN WHOLE OR IN PART FOR ANY PUBLIC 30 WELFARE CLAIM AN ACTION GOVERNED B Y THIS SECTION. 31 SENATE BILL 680 3 (B) (C) IN A PUBLIC WELFARE ACT ION AN ACTION GOVERNED BY THIS 1 SECTION, THE FACTFINDER JUDGE OR JURY SHALL: 2 (1) MAKE A DETERMINATION OF THE TOTAL LIABILI TY, INCLUDING 3 DAMAGES, COSTS, AND ALL ANY OTHER AVAILABLE RELI EF; 4 (2) ASSIGN COMPARATIVE R ESPONSIBILITY TO ALL PARTIES EACH 5 PARTY JOINED IN THE PUBLIC WELFARE ACTION, INCLUDING ALL DEFEND ANTS, 6 THIRD–PARTY DEFENDANTS , INTERVENORS , AND ANY OTHER NAMED PARTY, BASED 7 ON THE PARTY’S RELATIVE DEGREE OF FAULT OR RESPONSIBIL ITY FOR THE TOTAL 8 LIABILITY; AND 9 (3) IF EQUITY REQUIRES , DETERMINE THE LIABILITY OF A G ROUP OF 10 RELATED PERSONS ON A COLLECTIVE BASIS . 11 (C) (D) IF THE STATE HAS NOT OBTAINE D COMPLETE RELIEF FR OM A 12 RESPONSIBLE PERSON W HO HAS RESOLVED THE PERSON’S LIABILITY TO THE STATE 13 IN A SETTLEMENT FOR A PUBLIC WELFARE CLAIM OF AN ACTION GOVERNED BY THIS 14 SECTION, THE STATE MAY: 15 (1) CONTINUE TO PURSUE A N ONGOING PUBLIC WELFA RE ACTION 16 AGAINST ANY OTHER RE SPONSIBLE PERSON WHO HAS NOT RESOLVED THE 17 PERSON’S LIABILITY TO THE STATE FOR THE PUBLIC WELFA RE CLAIM THAT IS THE 18 SUBJECT OF THE PUB LIC WELFARE ACTION ; OR 19 (2) BRING A NEW PUBLIC WELFARE ACTION AGAINST ANY O THER 20 RESPONSIBLE PERSON W HO HAS NOT RESOLVED THE PERSON’S LIABILITY TO THE 21 STATE FOR THE PUBLIC WELFA RE CLAIM THAT IS THE SUBJECT OF THE PUBLI C 22 WELFARE ACTION . 23 (D) (E) NOTWITHSTANDING ANY O THER PROVISION OF STATE LAW: 24 (1) THE MARYLAND UNIFORM CONTRIBUTION AMONG JOINT 25 TORT–FEASORS ACT UNDER TITLE 3, SUBTITLE 14 OF THE COURTS ARTICLE DOES 26 NOT APPLY TO PUBLIC WELFARE CLAIM S AN ACTION GOVERNED B Y THIS SECTION; 27 (2) IF A RESPONSIBLE PERSON RESOLVES THE PERSON ’S LIABILITY 28 TO THE STATE IN A SETTLEMENT OF A PUBLIC WELFARE CLA IM AN ACTION 29 GOVERNED BY THIS SEC TION, THE PERSON MAY NOT B E LIABLE FOR CLAIMS FOR 30 NONCONTRACTUAL CONTR IBUTION OR INDEMNITY REGARDING ANY MATTER 31 ACTION OR CLAIM ADDRESSED RESOLVED IN THE SETTLEMENT , INCLUDING ANY 32 STATUTORY OR COMMON LAW CLAIM; AND 33 4 SENATE BILL 680 (3) A SETTLEMENT OF A PUBLIC WELFARE CLA IM AN ACTION 1 GOVERNED BY THIS SEC TION THAT RESOLVES THE LI ABILITY OF A RESPONS IBLE 2 PERSON: 3 (I) DOES NOT RELEASE FROM LIABILITY ANY O THER 4 RESPONSIBLE PERSON E XCEPT AS SPECIFICALL Y PROVIDED IN THE TE RMS OF THE 5 SETTLEMENT ; BUT 6 (II) REDUCES THE POTENTIA L LIABILITY OF ALL O THER 7 RESPONSIBLE PERSONS LIABLE IN WHOLE OR I N PART FOR THE PUBLIC WELFA RE 8 CLAIM THAT IS THE SUBJECT OF THE SETTL EMENT BY THE BY THE LARGER OF : 9 1. THE SETTLING PERSON ’S PROPORTIONATE SHAR E OF 10 LIABILITY FOR ALL SETTLED PUBL IC WELFARE CLAIMS , INCLUDING ALL STATUT ORY 11 AND COMMON LAW CLAIM S; OR 12 2. THE AMOUNT THE SETTL ING PERSON PAYS TO SETTLE 13 THE ACTION. 14 (E) (F) THIS SECTION MAY NOT BE CONSTRUED TO : 15 (1) IMPAIR ANY EXPRESS C ONTRACTUAL RIGHTS ; OR 16 (2) CREATE NEW TYPES OF ACTIONS OR CLAIMS ; 17 (3) ALTER THE BURDEN OF PROOF, CAUSATION STANDARD , OR 18 ELEMENTS OF AN ACTIO N OR CLAIM GOVERNED BY THIS SEC TION; OR 19 (2) (4) GRANT AUTHORITY TO T HE STATE OR THE ATTORNEY 20 GENERAL TO BRING ACTI ONS OR CLAIMS NOT OT HERWISE AUTHORIZED B Y LAW. 21 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 22 apply only prospectively and may not be applied or interpreted to have any effect on or 23 application to any settlement of a public welfare an action finalized before the effective date 24 of this Act. 25 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 26 1, 2024. 27 SECTION 3. 2. AND BE IT FURTHER ENACTED, That this Act is an emergency 28 measure, is necessary for the immediate preservation of the public health or safety, has 29 been passed by a yea and nay vote supported by three–fifths of all the members elected to 30 each of the two Houses of the General Assembly, and shall take effect from the date it is 31 enacted. 32