Gray Rohrer – May 23, 2023

It’s DeSantis’ 7th appointment to the Florida Supreme Court since taking office.

Gov. Ron DeSantis named Judge Meredith Sasso of the 6th District Court of Appeal to the Florida Supreme Court, his office announced.

“I am proud to appoint Judge Meredith Sasso to the Florida Supreme Court because her fidelity to the Constitution will help preserve freedom in our state for generations to come,” DeSantis said in a released statement. “As a Cuban-American woman who understands the importance of our constitutional system and the rule of law, Judge Sasso will serve our state well.”

Sasso, 40, graduated from the University of Florida in 2005 and earned her law degree there in 2008. After representing clients in the private sector, she served as Deputy General Counsel for DeSantis’ predecessor, Rick Scott.

Scott then appointed her to the 5th District Court of Appeal in January 2019, shortly before he left office and DeSantis was sworn in. DeSantis then shifted her to the newly created 6th DCA at the start of this year.

“I am incredibly honored that Governor Ron DeSantis is entrusting me with this position,” Sasso said in a released statement. “The judiciary plays a critical and unique role in our constitutional government, and I am resolutely committed to upholding the rule of law for as long as I am privileged to serve.”

The appointment is DeSantis’ seventh to the Florida Supreme Court since he took office. Two of those appointees, Robert Luck and Barbara Lagoa, were later tapped by then-President Donald Trump to the federal 11th Circuit Court of Appeals, so DeSantis has named five out of the seven justices currently sitting on the Florida Supreme Court.

Sasso replaces Justice Ricky Polston, who resigned on March 31 and was later named as General Counsel for Citizens Property Insurance Corp., a state-backed property insurer.

Sasso’s husband, Michael, is a Winter Park lawyer who was appointed by DeSantis to the Central Florida Tourism Oversight Board. The board is at the center of DeSantis’ battle with The Walt Disney Co. over the use of the land surrounding its theme parks in Central Florida.

Sasso’s nomination was met with praise from William Large, president of the conservative-leaning Florida Justice Reform Institute.

“The Florida Justice Reform Institute applauds Gov. DeSantis for his bold and consistent leadership as he continues to do exactly what he promised by reshaping the Florida Supreme Court,” he said.

“The Governor’s appointment of Meredith Sasso to the Florida Supreme Court cements this promise of appointing justices with a proven record of embracing textualism, and the notion that the courts should interpret our laws, not write them.”

Large added, “Justice Sasso is an exceptional choice for the Florida Supreme Court due to her extensive legal experience, dedication to public service, and her strong, demonstrated commitment to upholding justice and the rule of law. We further applaud Gov. DeSantis for his continuing commitment to a Court that can draw on a rich diversity of life experience.”

https://floridapolitics.com/archives/613990-gov-desantis-appoints-meredith-sasso-to-florida-supreme-court/  

Gray Rohrer – April 21, 2023

‘What we’re doing is having a little bit more transparency in reporting to the public.’

Legislation imposing larger fines and greater reporting requirements on property insurers cleared its last Senate committee hurdle and is headed to the floor in that chamber, but major differences remain with the House version of the bill.

The Senate Fiscal Policy Committee passed SB 7052 unanimously. It would increase fines for insurers that mishandle claims and the Office of Insurance Regulation (OIR) would have greater authority to conduct investigations into those companies.

“What we’re doing is having a little bit more transparency in reporting to the public,” said Sen. Travis Hutson, an Elkton Republican sponsoring the bill.

The Senate version would also require insurers to submit their claims handling manuals to the OIR to ensure they meet with best practices and require insurers that receive claims to “evaluate the claim fairly, honestly, and with due regard for the interests of the insured based on available information,” as well as other strictures for handling claims.

The House version of the bill (HB 7065) doesn’t contain those provisions.

Insurers and groups in favor of the tort restrictions passed by the Legislature and signed by Gov. Ron DeSantis in HB 837, say those provisions are too strict, with vague wording that would reopen the floodgates of litigation.

Lawmakers moved on those lawsuit restrictions to bolster a beleaguered insurance market that saw the demise of seven companies since the start of 2022, large rate hikes and other insurers that pulled back from the Florida market in the face of massive losses.

“Regulations need objective criteria on which to seek enforcement action and these, respectfully, are very subjective,” said Kathy Maus, representing the Florida Justice Reform Institute. “This is asking insurance claims professionals to provide legal advice.”

Conversely, trial lawyers contend the House version isn’t strict enough and would allow insurers to reject valid claims with impunity.

The House version is up for a hearing in the House Appropriations Committee on Friday.

https://floridapolitics.com/archives/605459-insurer-accountability-bill-heads-to-senate-floor-but-big-differences-with-house-remain/ 

Christine Jordan Sexton – March 18, 2023

The hope is insurance rates will be lowered though there is no mandate in the bill.

The House has passed a major legislative package to limit lawsuits against insurance companies and businesses.

Filed by Reps. Tommy Gregory and Tom Fabricio, the bill (HB 837) cleared the chamber on an 80-31 vote. Rep. Paula Stark, a Republican from St. Cloud, voted against the bill and was the only member to cross party lines.

The omnibus bill makes substantive changes to how lawsuits are filed and litigated in the state, all but eliminating the longstanding statute that allows a policyholder who successfully sues their insurance company on a coverage denial claim to recoup attorney fees.

That 1893 law was “misguided,” Gregory, a Republican civil litigator from Manatee County, said, because it encouraged policyholders to file lawsuits.

By contrast, he continued, the bill seeks to establish three principles: That each party to litigation should pay its own attorney fees; that “the person who causes you harm, that’s the person who pays for your damages” and not “those with the deepest pockets,” whether a business of insurance company; and to “trust the juries.”

Fabricio, also a Republican civil attorney but from Miami-Dade County, noted that the bill does nothing to cap damages, even punitive damages. It does promote transparency as to damages suffered by requiring plaintiffs to provide evidence of the medical costs they’re actually paying, less any discounts or waivers, he said.

“We want the juries to be armed with all the information. We want the juries to be able to go back to that jury room, deliberate based on the numbers that both sides present,” Fabricio said.

The bill is a priority for Gov. Ron DeSantis, House Speaker Paul Renner, and Senate President Kathleen Passidomo and has been fast-tracked through the legislative process. 

SB 236, the companion bill filed by Sen. Travis Hutson, has cleared all of its committees of reference and could be considered by the full Senate as soon as Wednesday.

Business interests were quick to issue statements lauding Renner and the House for passing the legislation.

“With the House’s passage today of legislation that will significantly transform our state’s legal system, Speaker Paul Renner has taken a stand in support of Florida’s businesses and consumers and put unscrupulous billboard lawyers on notice,” AIF President and CEO Brewster Bevis said in a prepared statement.

Bevis said the bill puts a stop to what he called “frivolous” lawsuits being filed solely for personal gain.

Democrat Mike Gottlieb, a criminal-defense lawyer from Broward County, conceded the state needs tort reform, but warned that the bill’s limits on medical payouts would discourage doctors from treating injured people on the basis of a future insurance recovery.

In addition to the near-total elimination of the one-way attorney fee statutes, the bill changes the information that juries are allowed to consider regarding past and future medical bills.

The House bill initially would have put an end to the use of letters of protection, or LOPs.

LOPs are sent by plaintiff attorneys to their clients’ health care providers. LOPs guarantee the provider payment for medical treatment from a future lawsuit settlement or verdict award. Therefore, if the patient is insured, providers don’t bill the insurers, Medicare or Medicaid.

While HB 837 doesn’t ban LOPs altogether, the bill allows juries to consider the contracted commercial reimbursement rates for the costs of care as well as Medicare and Medicaid rates when determining future medical expenses.

The bill makes clear the jury can consider 120% of the Medicare reimbursement rate or, if the service isn’t covered by Medicare, 170% of the Medicaid reimbursement rate.

Florida Justice Reform Institute President William Large said letters of protection enable plaintiff attorneys to inflate the value of past medical bills and claims the use of LOPs artificially inflates settlement amounts by as much as 400%.

The bill also allows separate court proceedings to divide payouts between policyholders and any third parties, such as auto passengers, injured in any accident. The carrier wouldn’t have to pay third parties any amount in excess of the policy limit.

But all parties, including third parties, would have to cooperate in good faith. Hillary Cassel, a Democrat from Broward County, argued that provision would allow those third parties, by refusing to cooperate with someone who harmed them, to muddle the claim.

“Good faith now would require that family that lost a family member to work in good faith with this person who hurt their family member. And if that person who’s been injured doesn’t cooperate in the manner in which the insurance company sees fit, that impacts that business’ insurance,” Cassel said.

“Is that common sense?”

In past Legislative Sessions, companies such as Publix were on the front lines of the LOP battle alongside FJRI. But for the 2023 Session, the Florida Trucking Association (FTA) has taken on a more prominent role.

“Today is a promising step in the fight against trial attorneys who have been profiting while businesses and Floridians have suffered under the cost of lawsuit abuse,” FTA President and CEO Alix Miller said in a prepared statement. “We look forward to seeing the Senate take similar action, so we can, once and for all, rebalance our judicial system to the benefit of all Floridians.”

Worth noting: There were eight House members who weren’t included in the final House vote. And while the official vote remains unchanged, three of the eight members — Reps. Mike Beltran, Joe Casello, and Chip LaMarca — voted later.

Beltran, a Republican from Valrico, and Cassello, a Democrat from Boynton Beach, cast “no” votes while LaMarca, a Republican from Lighthouse Point, cast a “yes” vote. 

Meanwhile Reps. Jervonte Edmonds, Dianne Hart, Lauren Melo and Allison Tant did not vote.

There is no requirement for insurance companies to reduce rates as a result of the substantive changes. And that is one reason why the legislation has been criticized by trial attorneys and their clients who say it goes too far and will result in a windfall for insurance companies.

Specifically, they note that the bill changes Florida’s bad faith statutes so that insurance companies cannot be sued for bad faith if, prior to a complaint being filed or within 90 days of being notified of the complaint, they tendered the lesser of the policy limits or the amount demanded by the claimant.

Additionally, if there are multiple claimants in a single bad faith action, the bill allows the insurer at the outset to pay the total amount of the policy limits through an interpleader action. That limits the insurer’s bad faith liability and makes the claimants compete against each other for a share of the money. 

NFIB Executive Director Bill Herrle said Friday that the small business owners his association represents have “clamored for” the changes.

The bill “won’t stop anyone from going to court. If you’ve been hurt, you have a constitutional right to seek redress, but HB 837 brings the scales of justice back into balance after being weighted in favor of plaintiffs’ attorneys for so many years,” Herrle said.

He added that, unlike big corporations, small businesses don’t have legal departments to defend themselves against.

“The cost of defending itself against just one nuisance lawsuit can break a small business, even if the case is eventually thrown out of court,” he said.

—

Material from The Florida Phoenix was used in this post.

https://floridapolitics.com/archives/596307-torts-bill-clears-house-senate-could-vote-on-final-passage-next-week/ 

Christine Jordan Sexton – March 14, 2023

Letters of protection can still be used under the compromise.

The House and Senate appear to have reached an agreement on most issues of a far-reaching bill on lawsuit limits bill that is being fast-tracked through the Legislature and has the support of Gov. Ron DeSantis

Senate bill sponsor Sen. Travis Hutson detailed the nuances of the agreement between the House and Senate to members of the Senate Judiciary Committee on Tuesday.

“I am going to call some friends in the House right after we are done,” Hutson told committee members assuring them he would continue to hammer out some fine points of the agreement which he later described to Florida PolItics as technical.

The Florida Justice Association, which represents the state’s trial attorneys and their clients, does not support the agreement. The accord has also caught the ire of some Parkland parents and others who say that proposed changes in the bill that would protect property owners and managers of commercial properties from civil suits goes too far.

Specifically, the bill proposes allowing juries to consider the fault of all people — including criminals — who contributed to an injury.

That is part of broader policy changes in the agreement to shift Florida from a state with a pure comparative negligence approach to a state that uses a modified comparative negligence standard. The switch means that plaintiffs who are found to be more than 50% responsible for their injuries or harm may not recover damages.

The chambers agreed that the changes should not impact medical malpractice cases or wrongful death cases against physicians.

“I hold doctors to a higher standard,” Hutson said of maintaining current law for medical malpractice cases.

Florida’s hospitals and health care providers were hoping that the changes would apply to medical malpractice lawsuits.

The chambers also reached a compromise on so-called “truth in medical damages” and letters of protection, or LOPs.

Headed into the 2023 Legislative Session, Florida Justice Reform Institute President William Large said cracking down on letters of protection — a vehicle designed to guarantee payments to certain medical providers ahead of litigation — was a top priority because inflated bills drive excessive jury settlements.

Large and other business groups initially wanted to ban the use of letters of protection and required providers to either accept commercial insurance reimbursement for insured patients or agree to Medicare or Medicaid rates for uninsured patients.

The agreement between the chambers addresses both past and future medical bills. Specific to past bills the agreement allows jurors to see the amount that was paid to settle the bills regardless of the source of payment.

In regard to future medical bills, the agreement allows the jury to see evidence depicting the amount necessary to satisfy unpaid charges for incurred medical treatment. For insured patients whose bills have been paid by their health insurance carrier or HMO, the jury could see evidence of what the health insurer is obligated to pay the health care provider to satisfy the health care bill plus the claimant’s care expenses under the insurance policy.

For insured patients who did not submit bills to the health insurer or HMO to pay and received care under a letter of protection, the jury can see evidence of what the insurer or HMO would have been required to pay plus the claimant’s care expenses under the insurance policy.

And for patients on Medicare or Medicaid, the jury would be told what 120% of the Medicare reimbursement rate is in effect at the time of service. If there is no applicable Medicare rate for a service, 170% of the applicable Medicaid rate will be presented to the jury.

Specific to attorney fees, House and Senate Republicans have agreed to narrow the state’s broad one-way attorney fees statutes to allow the attorney fees to be recovered in declaratory judgments for coverage denial claims.

Regarding bad faith claims, the Senate has agreed to the House’s position to amend current law to make clear that “mere negligence is not bad faith.”

Additionally, the chambers have agreed, Hutson said, to provide a safe harbor against bad faith claims for insurers that give them up to 90 days to pay either an amount covered by a policy or the amount demanded by the person filing the claim, whichever is less.

The overall agreement was embodied in the strike everything amendment that the Senate Judiciary Committee agreed to tag onto SB 236 on Tuesday night and in the lengthy amendment that has been filed to HB 837 by bill sponsor Rep. Tommy Gregory. The House bill will be taken up by the full House on Thursday while Hutson’s bill now heads to the Senate Fiscal Policy Committee.

https://floridapolitics.com/archives/595485-negotiations-nearly-final-on-bills-to-protect-insurers-businesses-from-lawsuits/ 

 

Sunburn — The morning read of what’s hot in Florida politics — 2.27.23

Peter Schorsch

FJRI cheers tort reform success — After HB 837 cleared the committee, Florida Justice Reform Institute President William Large said, “Gov. DeSantis has repeatedly pledged to take on the toughest issues and he has delivered. Now, with help from the Legislature, he’s taking on the trial lawyers in dramatic fashion and leading Florida toward a more predictable, stable legal environment that focuses on fairness and personal responsibility. The Florida Justice Reform Institute commends Gov. DeSantis, House Speaker Renner, and the bill sponsors Reps. Gregory and Fabricio for their leadership on HB 837, the most consequential civil litigation reform in a generation.”

https://floridapolitics.cmail20.com/t/i-e-qkltya-trlttliyt-y/