House File 2202
HOUSE FILE
BY HORBACH
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to an award of punitive or exemplary damages.
2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
3 TLSB 5587YH 80
4 rh/pj/5
PAG LIN
1 1 Section 1. Section 668A.1, Code 2003, is amended to read
1 2 as follows:
1 3 668A.1 PUNITIVE OR EXEMPLARY DAMAGES.
1 4 1. In a trial of a claim involving the request for
1 5 punitive or exemplary damages, the court shall instruct the
1 6 jury to answer special interrogatories or, if there is no
1 7 jury, shall make findings, indicating all of the following:
1 8 a. Whether, by a preponderance of clear, and convincing,
1 9 and satisfactory evidence, the conduct of the defendant from
1 10 which the claim arose constituted willful and wanton disregard
1 11 for the rights or safety of another.
1 12 b. Whether the conduct of the defendant was directed
1 13 specifically at the claimant, or at the person from which the
1 14 claimant's claim is derived.
1 15 c. Whether, by a preponderance of clear and convincing
1 16 evidence, the conduct of the defendant from which the claim
1 17 arose constituted actual malice.
1 18 2. An award for punitive or exemplary damages shall not be
1 19 made unless the answer or finding pursuant to subsection 1,
1 20 paragraph "a", is affirmative. If such answer or finding is
1 21 affirmative, the jury, or court if there is no jury, shall fix
1 22 the amount of punitive or exemplary damages to be awarded, and
1 23 such damages shall be ordered paid as follows:
1 24 a. If the answer or finding pursuant to subsection 1,
1 25 paragraph "b", is affirmative, the full amount of the punitive
1 26 or exemplary damages awarded shall be paid to the claimant.
1 27 b. If the answer or finding pursuant to subsection 1,
1 28 paragraph "b", is negative, after payment of all applicable
1 29 costs and fees, an amount not to exceed twenty=five percent of
1 30 the punitive or exemplary damages awarded may be ordered paid
1 31 to the claimant, with the remainder of the award to be ordered
1 32 paid into a civil reparations trust fund administered by the
1 33 state court administrator. Funds placed in the civil
1 34 reparations trust shall be under the control and supervision
1 35 of the executive council, and shall be disbursed only for
2 1 purposes of indigent civil litigation programs or insurance
2 2 assistance programs.
2 3 3. The mere allegation or assertion of a claim for
2 4 punitive damages shall not form the basis for discovery of the
2 5 wealth or ability to respond in damages on behalf of the party
2 6 from whom punitive damages are claimed until such time as the
2 7 claimant has established that sufficient admissible evidence
2 8 exists to support a prima facie case establishing the
2 9 requirements of subsection 1, paragraph "a" not exceed two
2 10 hundred fifty thousand dollars, except upon a finding of
2 11 actual malice on the part of the defendant.
2 12 EXPLANATION
2 13 This bill relates to an award of punitive or exemplary
2 14 damages.
2 15 The bill provides that in a trial of a claim involving a
2 16 request for punitive or exemplary damages, the court shall
2 17 instruct the jury to answer special interrogatories, or, if
2 18 there is no jury, the court shall make findings to include a
2 19 finding of whether, by a preponderance of clear and convincing
2 20 evidence, the conduct of the defendant constituted actual
2 21 malice. In addition, the bill provides that an award of
2 22 punitive or exemplary damages shall not exceed $250,000,
2 23 except upon a finding of actual malice on the part of the
2 24 defendant.
2 25 LSB 5587YH 80
2 26 rh/pj/5