Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1428 Compare Versions

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28-ENGROSSED SENATE
29-BILL NO. 1428 By: Howard of the Senate
29+SENATE FLOOR VERSION
30+February 22, 2022
31+AS AMENDED
3032
31- and
33+SENATE BILL NO. 1428 By: Howard
3234
33- Stinson of the House
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3839 An Act relating to civil procedure; amending 12 O.S.
3940 2021, Sections 940 and 1101, which relate to offers
4041 of judgment; conforming language; modifying
4142 procedures for offers of judgment; establishing
4243 deadline for filing certain offer ; requiring filing
4344 of accepted offer with court clerk; providing for
4445 inadmissibility of unaccepted o ffer; requiring
4546 payment of certain costs after unaccepted offer under
4647 certain circumstances; specifying acceptable
4748 litigation costs; esta blishing requirements for
4849 comparison of judgment an d offer; requiring offer of
4950 judgment letter to include certain information;
5051 stating applicability of provisions; repealing 12
5152 O.S. 2021, Sections 1101.1 and 1106, which relate to
5253 offers of judgment and offer in court by defendant to
5354 confess judgment for part of amount claim ed; and
5455 providing an effective date.
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6061 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
6162 SECTION 1. AMENDATORY 12 O.S. 2021, Section 940, is
6263 amended to read as follows:
6364 Section 940. A. In any civil action to recover damages for the
6465 negligent or willful injury to property and any other incidental
6566 costs related to such act ion, the prevailing party shall be allowed
6667 reasonable attorney’s fees, court costs and inte rest to be set by
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9395 the court and to be taxed and collected as other costs of the
9496 action.
9597 B. Provided that, the defenda nt in such action may, not less
9698 than ten (10) days after being served wit h summons, serve upon the
9799 plaintiff or his attorney a written off er to allow judgment to be
98100 taken against him. If the plaintiff accepts the offer and gives
99101 notice thereof to the defe ndant or his attorney, within five (5)
100102 days after the offer was served, t he offer, and an affidavit that
101103 the notice of acceptance was deli vered within the time limited, may
102104 be filed by the plaintiff, or the defendant, verified by affidavit.
103105 The offer and acceptance shall be noted in the journal, and j udgment
104106 shall be rendered accordingly. If the notice of acceptance is not
105107 given in the period limited, the offer shall be deemed withdrawn,
106108 and shall not be given in evidence or mentioned at the trial. If
107109 upon the action being adjudicated the judgment re ndered is for the
108110 defendant or for the plaintiff and is for a lesser amount than the
109111 defendant’s offer, then the plaintiff shall not be entitled to
110112 recover attorney’s fees, court costs and interest. If the ju dgment
111113 rendered is for the plaintiff, and is fo r the same amount as the
112114 defendant’s offer, then the plaintiff and defendant shall incur
113115 their own attorney’s fees, court costs and interest. And if the
114116 judgment rendered is for the plaintiff, and is for a la rger amount
115117 than the defendant’s offer, then the plaintiff shall be entit led to
116118 recover attorney’s fees, court costs and interest.
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143146 SECTION 2. AMENDATORY 12 O.S. 2021, Section 1101, is
144147 amended to read as follows:
145148 Section 1101. The defendant, in an action for the recovery of
146149 money only, may, at any time before the trial, serve upon the
147150 plaintiff or his attorney an offer, in writing, to allow judgment to
148151 be taken against him for the sum specified therein. If the
149152 plaintiff accept the offer and give notice thereof to the defendant
150153 or his attorney, within f ive days after the offer was served, the
151154 offer, and an affidavit that the notice of acceptance was delivered
152155 within the time limite d, may be filed by the plaintiff, or the
153156 defendant may file the acceptance, with a copy of the offer,
154157 verified by affidavit; and in either case, the offer and acceptance
155158 shall be noted in the journal, and judgment shall be rendered
156159 accordingly. If the notice of acceptance be not given in the period
157160 limited, the offer shall be deemed withdrawn, and shall not be given
158161 in evidence or mentioned on the trial. If the plaintiff fails to
159162 obtain judgment for more than was offered by the defendant, he shall
160163 pay the defendant’s costs from the time of the offer
161164 A. MAKING AN OFFER; JUDGMENT ON AN ACCEPTED OFFER . At least
162165 seven (7) days before a date set for trial, a party defending
163166 against a claim may serve on an opposing party an offer to allow
164167 judgment on specified terms . If the opposing party accepts the
165168 offer, acceptance shall be made within five (5) da ys after service
166169 of the offer and either party may then file the offer and notice of
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193197 acceptance plus proof of service. The court clerk shall then enter
194198 judgment.
195199 B. UNACCEPTED OFFER. An unaccepted offer is considered
196200 withdrawn, but shall not preclude a later offer. Evidence of an
197201 unaccepted offer is not admissible except in a proceeding to
198202 determine costs.
199203 C. OFFER AFTER LIABILITY IS DETERMINED . When the liability of
200204 one party to another has been established but the extent of
201205 liability remains to be determined , the party held liable may make
202206 an offer of judgment. Any such offer shall be served no fewer than
203207 seven (7) days prior to the date set for a hearing to determine the
204208 extent of liability.
205209 D. PAYING COSTS AFTER AN UNACCEPTED OFFER.
206210 1. If the judgment the of feree obtains is less than or equal to
207211 the unaccepted offer or the judgment is for the offering party , the
208212 offeree shall pay the litigation costs of the offeror incurred after
209213 the offer was made. Litigation costs shall include recovery of all
210214 allowable costs associated with the litigation process after the
211215 offer was rejected including but not limited to:
212216 a. reasonable attorney fees, if otherwise permitted by
213217 law,
214218 b. court costs,
215219 c. expert witness fees, and
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242247 d. interest to be set by the court and to be t axed and
243248 collected as other costs of the action.
244249 2. If the judgment the offeree obtains exceeds the offer of
245250 judgment, the offeree shall be entitled to recover reasonable
246251 attorney fees, court costs, and interest to the extent otherwis e
247252 permitted by law for the offeree’s claim.
248253 3. For purposes of comparing the amount of a judg ment with the
249254 amount of an offer, any recoverable litigation costs shall not be
250255 included in the amount of the compared judgment.
251256 E. OFFER OF JUDGMENT LETTER. An offer of judgment letter shall
252257 include the following:
253258 1. The judgment offer amount ;
254259 2. If the offer of judgment is for part of the amount claimed
255260 or part of the causes involved in the action, then specifically to
256261 which cause or causes the offer of judgment applies;
257262 3. If the offer includes attorney fees;
258263 4. If the action involves multiple opposing p arties, then to
259264 which party the offer of judgment applies;
260265 5. If the action involves multiple opposing parties and the
261266 offer of judgement is for all parties, then specifically how much
262267 each opposing party is to receive of the offer amount ; and
263268 6. The expiration date of the offer as determined pursuant to
264269 subsection A of this section .
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291297 F. EFFECTIVENESS. The provisions of this section shall be
292298 applicable to an action filed on or after the effective date of this
293299 act.
294300 SECTION 3. REPEALER 12 O.S. 2021, Sections 1101.1 and
295301 1106, are hereby repealed.
296302 SECTION 4. This act shall become effective November 1, 2022.
297-Passed the Senate the 22nd day of March, 2022.
298-
299-
300-
301- Presiding Officer of the Senate
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304-Passed the House of Representatives the ____ day of __________,
305-2022.
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309- Presiding Officer of the House
310- of Representatives
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303+COMMITTEE REPORT BY: COMMITTEE ON JUDICIARY
304+February 22, 2022 - DO PASS AS AMENDED