Modifies provisions relating to the collateral source rule
Impact
The impact of HB1715 on state laws revolves around personal injury litigation and the way damages are calculated and recovered. By excluding evidence of collateral sources, the bill could lead to significant changes in how courts approach claims for economic damages. If enacted, defendants in personal injury cases could benefit by reducing their financial exposure, although plaintiffs might find it more difficult to claim total damages for medical costs already covered by collateral sources.
Summary
House Bill 1715 seeks to amend the current provisions related to the collateral source rule in Missouri. Specifically, it proposes to repeal the existing law regarding collateral sources and replace it with a new statute that modifies the admissibility of evidence pertaining to collateral sources in personal injury cases. The bill is designed to ensure that evidence of payments made to a plaintiff for special damages—such as medical expenses—by the defendant or their insurance is not admissible, thus preventing a duplication of recovery and potentially lowering liability.
Contention
Notably, the bill may evoke contention due to its implications on the rights of plaintiffs seeking full recovery for injuries sustained. Proponents argue that this change can prevent plaintiffs from receiving unjustified double recovery and streamline the litigation process. However, critics may view it as diminishing the ability of injured parties to recover their full costs, especially in complex cases where medical expenses are contracted at lower rates than billed. This aspect underscores a potential conflict between economic efficiency for defendants and equitable compensation for plaintiffs.
Modifies provisions relating to civil procedure, including the collateral source rule, determinations of fault, references to damages, and disclosure requirements
Modifies provisions relating to civil procedure, including the collateral source rule, time-limited settlement demands, references to damages, and disclosure requirements