Fair Calculations in Civil Damages Act of 2023
The enactment of HB 4980 could lead to significant changes in the calculus of damages awarded in personal injury and employment discrimination cases. Courts would need to rely on established guidelines for calculating future earnings that do not incorporate potentially biased factors. This would result in a shift towards standardized calculations across federal courts, which could help mitigate disparities in awards based on subjective variables. The Secretary of Labor is tasked with developing guidance to assist in creating inclusive future earnings tables that align with these principles.
House Bill 4980, known as the Fair Calculations in Civil Damages Act of 2023, seeks to reform how courts calculate damages in civil actions by prohibiting the inclusion of factors such as race, ethnicity, gender, religion, and actual or perceived sexual orientation in the projections of future earning potential. The bill aims to establish a more equitable legal framework that applies universally across various jurisdictions within the United States. By focusing on objective measures of damages, proponents argue that the bill will enhance fairness in the judicial process.
However, the bill has sparked debate regarding its implications for civil rights protections. Critics express concerns that excluding these demographic factors from damage calculations may undermine the ability of courts to recognize and compensate for inequalities that arise from discrimination. There are fears that the bill may complicate matters for plaintiffs who already face systemic biases within the justice system. Some opponents argue it may inadvertently marginalize the impact of discrimination in the calculation of personal injury and tort damages.
To address these concerns, HB 4980 mandates a series of studies and reports on the impact of its provisions. The Judicial Conference of the United States is instructed to examine current damages awarded under federal law and produce a report evaluating these practices. Moreover, the Administrative Office of the United States Courts is also required to investigate how to account for age and disability in future earning calculations without conflicting with equal protection laws. This focus on studying the effects of the bill aims to ensure a thorough understanding of its impact before full implementation.