Senate Study Bill 1095 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON JUDICIARY BILL BY CHAIRPERSON ZAUN) A BILL FOR An Act relating to disclosure of asbestos bankruptcy trust 1 claims in civil asbestos actions, asbestos and silica claims 2 prioritization, and successor corporation asbestos-related 3 liability, and including applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1990XC (7) 87 jh/nh

S.F. _____ Section 1. NEW SECTION . 686A.1 Title. 1 This chapter shall be known and may be cited as the “Asbestos 2 Bankruptcy Trust Claims Transparency Act” . 3 Sec. 2. NEW SECTION . 686A.2 Definitions. 4 As used in this chapter, unless the context otherwise 5 requires: 6 1. “Asbestos” means chrysotile, amosite, crocidolite, 7 tremolite asbestos, anthophyllite asbestos, actinolite 8 asbestos, asbestiform winchite, asbestiform richterite, 9 asbestiform amphibole minerals, and any of these minerals that 10 have been chemically treated or altered, including all minerals 11 defined as asbestos in 29 C.F.R. pt. 1910, at the time the 12 asbestos action is filed. 13 2. “Asbestos action” means a claim for damages or other 14 civil or equitable relief presented in a civil action arising 15 out of, based on, or related to the health effects of exposure 16 to asbestos, including loss of consortium, wrongful death, 17 mental or emotional injury, risk or fear of disease or other 18 injury, costs of medical monitoring or surveillance, and any 19 other derivative claim made by or on behalf of a person exposed 20 to asbestos or a representative, spouse, parent, child, or 21 other relative of that person. 22 3. “Asbestos trust” means a government-approved or 23 court-approved trust, qualified settlement fund, compensation 24 fund, or claims facility created as a result of an 25 administrative or legal action, a court-approved bankruptcy, 26 or pursuant to 11 U.S.C. §524(g) or 11 U.S.C. §1121(a) or 27 other applicable provision of law, that is intended to provide 28 compensation to claimants arising out of, based on, or related 29 to the health effects of exposure to asbestos. 30 4. “Plaintiff” means the person bringing an asbestos action, 31 including a personal representative if the asbestos action is 32 brought by an estate, or a conservator or next friend if the 33 asbestos action is brought on behalf of a minor or legally 34 incapacitated individual. 35 -1- LSB 1990XC (7) 87 jh/nh 1/ 28

S.F. _____ 5. “Trust claims materials” means a final executed proof 1 of claim and all other documents and information related to a 2 claim against an asbestos trust, including claims forms and 3 supplementary materials, affidavits, depositions and trial 4 testimony, work history, and medical and health records, 5 documents reflecting the status of a claim against an asbestos 6 trust, and if the trust claim has settled, all documents 7 relating to the settlement of the trust claim. 8 6. “Trust governance documents” means all documents that 9 relate to eligibility and payment levels, including claims 10 payment matrices, trust distribution procedures, or plans for 11 reorganization, for an asbestos trust. 12 Sec. 3. NEW SECTION . 686A.3 Required disclosures by 13 plaintiff. 14 1. Within thirty days after an asbestos action is filed, 15 or within thirty days after the effective date of this 16 Act, whichever is later, the plaintiff shall do all of the 17 following: 18 a. Provide the court and parties with a sworn statement 19 signed by the plaintiff and the plaintiff’s counsel, under 20 penalty of perjury, indicating that an investigation of all 21 asbestos trust claims has been conducted and that all asbestos 22 trust claims that may be made by the plaintiff or any person on 23 the plaintiff’s behalf have been filed. The sworn statement 24 must indicate whether there has been a request to defer, delay, 25 suspend, or toll any asbestos trust claim, and provide the 26 disposition of each asbestos trust claim. 27 b. Provide all parties with all trust claims materials, 28 including trust claims materials that relate to conditions 29 other than those that are the basis for the asbestos action 30 and including all trust claims materials from all attorneys 31 connected to the plaintiff in relation to exposure to asbestos, 32 including any attorney involved in the asbestos action, any 33 referring attorney, and any other attorney who has filed an 34 asbestos trust claim for the plaintiff or on the plaintiff’s 35 -2- LSB 1990XC (7) 87 jh/nh 2/ 28

S.F. _____ behalf. 1 c. If the plaintiff’s asbestos trust claim is based on 2 exposure to asbestos through another individual, the plaintiff 3 shall produce all trust claims materials submitted by the 4 other individual to any asbestos trusts if the materials are 5 available to the plaintiff or the plaintiff’s counsel. 6 2. The plaintiff shall supplement the information and 7 materials required under subsection 1 within thirty days after 8 the plaintiff or a person on the plaintiff’s behalf supplements 9 an existing asbestos trust claim, receives additional 10 information or materials related to an asbestos trust claim, or 11 files an additional asbestos trust claim. 12 3. The court may dismiss the asbestos action if the 13 plaintiff fails to comply with this section. 14 4. An asbestos action shall not be set for trial until 15 at least one hundred eighty days after the requirements of 16 subsection 1 are met. 17 Sec. 4. NEW SECTION . 686A.4 Identification of additional or 18 alternative asbestos trusts by defendant. 19 1. A defendant may file a motion requesting a stay of 20 the proceedings on or before the later of the sixtieth day 21 before the date trial in the action is set to commence or the 22 fifteenth day after the defendant first obtains information 23 that could support additional trust claims by the plaintiff. 24 The motion shall identify the asbestos trust claims the 25 defendant believes the plaintiff can file and include 26 information supporting the asbestos trust claims. 27 2. Within ten days of receiving the defendant’s motion, the 28 plaintiff shall do one of the following: 29 a. File the asbestos trust claims. 30 b. File a written response with the court stating the reason 31 there is insufficient evidence for the plaintiff to file the 32 asbestos trust claims. 33 c. File a written response with the court requesting a 34 determination that the cost to file the asbestos trust claims 35 -3- LSB 1990XC (7) 87 jh/nh 3/ 28

S.F. _____ exceeds the plaintiff’s reasonably anticipated recovery. 1 3. a. If the court determines that there is a sufficient 2 basis for the plaintiff to file an asbestos trust claim 3 identified in the motion to stay, the court shall stay the 4 asbestos action until the plaintiff files the asbestos trust 5 claim and produces all related trust claims materials. 6 b. If the court determines that the cost of submitting 7 an asbestos trust claim exceeds the plaintiff’s reasonably 8 anticipated recovery, the court shall stay the asbestos action 9 until the plaintiff files with the court and provides all 10 parties with a verified statement of the plaintiff’s history 11 of exposure, usage, or other connection to asbestos covered by 12 that asbestos trust. 13 4. An asbestos action shall not be set for trial until at 14 least sixty days after the plaintiff provides the documentation 15 required by this section. 16 Sec. 5. NEW SECTION . 686A.5 Discovery —— use of materials. 17 1. Trust claims materials and trust governance documents 18 are presumed to be relevant and authentic, and are admissible 19 in evidence in an asbestos action. Notwithstanding any other 20 provision of law to the contrary, a claim of privilege does 21 not apply to any trust claims materials or trust governance 22 documents. 23 2. A defendant in an asbestos action may seek discovery 24 from an asbestos trust. Notwithstanding any other provision 25 of law to the contrary, the plaintiff may not claim privilege 26 or confidentiality to bar discovery and shall provide consent 27 or other expression of permission that may be required by the 28 asbestos trust to release information and materials sought by a 29 defendant. 30 3. Trust claim materials that are sufficient to entitle 31 a claim to consideration for payment under the applicable 32 trust governance documents may be sufficient to support a jury 33 finding that the plaintiff may have been exposed to products 34 for which the trust was established to provide compensation and 35 -4- LSB 1990XC (7) 87 jh/nh 4/ 28

S.F. _____ that, under applicable law, such exposure may be a substantial 1 contributing factor in causing the plaintiff's injury that is 2 at issue in the asbestos action. 3 Sec. 6. NEW SECTION . 686A.6 Trust record —— valuation of 4 asbestos trust claims —— judicial notice. 5 1. Not less than thirty days before trial in an asbestos 6 action, the court shall enter into the record a document that 7 identifies every asbestos trust claim made by the plaintiff or 8 on the plaintiff’s behalf. 9 2. If a plaintiff proceeds to trial in an asbestos 10 action before an asbestos trust claim is resolved, there is 11 a rebuttable presumption that the plaintiff is entitled to, 12 and will receive, the compensation specified in the trust 13 governance document applicable to the plaintiff’s claim at the 14 time of trial. The court shall take judicial notice that the 15 trust governance document specifies compensation amounts and 16 payment percentages and shall establish an attributed value to 17 the plaintiff’s asbestos trust claims. 18 Sec. 7. NEW SECTION . 686A.7 Setoff —— credit. 19 In any asbestos action in which damages are awarded and 20 setoffs are permitted under applicable law, a defendant is 21 entitled to a setoff or credit in the amount the plaintiff 22 has been awarded from an asbestos trust identified in 23 section 686A.6, subsection 1, and the amount of the valuation 24 established under section 686A.6, subsection 2. If multiple 25 defendants are found liable for damages, the court shall 26 distribute the amount of setoff or credit proportionally 27 between the defendants, according to the liability of each 28 defendant. 29 Sec. 8. NEW SECTION . 686A.8 Failure to provide information 30 —— sanctions. 31 1. On the motion of a defendant or judgment debtor seeking 32 sanctions or other relief in an asbestos action, the court 33 may impose any sanction provided by court rule or a law of 34 this state, including but not limited to vacating a judgment 35 -5- LSB 1990XC (7) 87 jh/nh 5/ 28

S.F. _____ rendered in the action, for a plaintiff’s failure to comply 1 with the disclosure requirements of this chapter. 2 2. If the plaintiff or a person on the plaintiff’s behalf 3 files an asbestos trust claim after the plaintiff obtains a 4 judgment in an asbestos action, and that asbestos trust was 5 in existence at the time the plaintiff obtained the judgment, 6 the trial court, on motion by a defendant or judgment debtor 7 seeking sanctions or other relief, has jurisdiction to reopen 8 the judgment in the asbestos action and adjust the judgment by 9 the amount of any subsequent asbestos trust payments obtained 10 by the plaintiff and order any other relief to the parties that 11 the court considers just and proper. 12 3. A defendant or judgment debtor shall file any motion 13 under this section within a reasonable time and not more than 14 one year after the judgment was entered. 15 Sec. 9. NEW SECTION . 686A.9 Application. 16 1. This chapter applies to all asbestos actions filed on or 17 after the effective date of this Act. 18 2. This chapter applies to all pending asbestos actions in 19 which trial has not commenced as of the effective date of this 20 Act unless the court finds that the application of a provision 21 in this chapter would unconstitutionally affect a vested right. 22 In that case, the provision does not apply and the court shall 23 apply prior law. 24 Sec. 10. NEW SECTION . 686B.1 Title. 25 This chapter shall be known and may be cited as the “Asbestos 26 and Silica Claims Priorities Act” . 27 Sec. 11. NEW SECTION . 686B.2 Definitions. 28 As used in this chapter, unless the context otherwise 29 requires: 30 1. “AMA guides” means the American medical association’s 31 guides to the evaluation of permanent impairment in effect at 32 the time of the performance of any examination or test on the 33 exposed person required under this chapter. 34 2. “Asbestos” means the same as defined in section 686A.2. 35 -6- LSB 1990XC (7) 87 jh/nh 6/ 28

S.F. _____ 3. “Asbestos action” means the same as defined in section 1 686A.2. 2 4. “Asbestosis” means bilateral diffuse interstitial 3 fibrosis of the lungs caused by inhalation of asbestos fibers. 4 5. “Board-certified in internal medicine” means certified 5 by the American board of internal medicine or the American 6 osteopathic board of internal medicine at the time of the 7 performance of an examination and rendition of a report 8 required by this chapter. 9 6. “Board-certified in occupational medicine” means 10 certified in the specialty of occupational medicine by the 11 American board of preventive medicine or the specialty of 12 occupational/environmental medicine by the American osteopathic 13 board of preventive medicine at the time of the performance 14 of an examination and rendition of a report required by this 15 chapter. 16 7. “Board-certified in pathology” means holding primary 17 certification in anatomic pathology or clinical pathology from 18 the American board of pathology or the American osteopathic 19 board of pathology at the time of the performance of an 20 examination and rendition of a report required by this chapter, 21 and practicing principally in the field of pathology including 22 regular evaluation of pathology materials obtained from 23 surgical or postmortem specimens. 24 8. “Board-certified in pulmonary medicine” means certified in 25 the specialty of pulmonary medicine by the American board of 26 internal medicine or the American osteopathic board of internal 27 medicine at the time of the performance of an examination and 28 rendition of a report required by this chapter. 29 9. “Certified B-reader” means an individual who has 30 qualified as a national institute for occupational safety and 31 health final or B-reader of X rays under 42 C.F.R. §37.51(b), 32 whose certification was current at the time of any readings 33 required under this chapter, and whose B-reads comply with 34 the national institute for occupational safety and health 35 -7- LSB 1990XC (7) 87 jh/nh 7/ 28

S.F. _____ B-reader’s code of ethics, issues in classification of chest 1 radiographs, and classification of chest radiographs in 2 contested proceedings. 3 10. “Exposed person” means a person whose exposure to 4 asbestos or silica or to asbestos-containing products or 5 silica-containing products is the basis for an asbestos action 6 or silica action. 7 11. “FEV1” means forced expiratory volume in the first 8 second, which is the maximal volume of air expelled in one 9 second during the performance of simple spirometric tests. 10 12. “FEV1/FVC” means the ratio between the actual values for 11 FEV1 over FVC. 12 13. “FVC” means forced vital capacity, which is the maximal 13 volume of air expired with maximum effort from a position of 14 full inspiration. 15 14. “ILO system” and “ILO scale” mean the radiological 16 ratings and system for the classification of chest X rays of 17 the international labour office provided in guidelines for 18 the use of ILO international classification of radiographs of 19 pneumoconioses in effect on the day any X rays of the exposed 20 person were reviewed by a certified B-reader. 21 15. “Nonmalignant condition” means any condition that can be 22 caused by asbestos or silica other than a diagnosed cancer. 23 16. “Official statements of the American thoracic society” 24 means lung function testing standards set forth in statements 25 from the American thoracic society, including standardizations 26 of spirometry, standardizations of lung volume testing, 27 standardizations of diffusion capacity testing or single-breath 28 determination of carbon monoxide uptake in the lung, and 29 interpretive strategies for lung function tests, which are in 30 effect on the day of the pulmonary function testing of the 31 exposed person. 32 17. “Pathological evidence of asbestosis” means a statement 33 by a physician who is board-certified in pathology that more 34 than one representative section of lung tissue uninvolved 35 -8- LSB 1990XC (7) 87 jh/nh 8/ 28

S.F. _____ with any other disease process demonstrates a pattern of 1 peribronchiolar or parenchymal scarring in the presence of 2 characteristic asbestos bodies graded 1(B) or higher under the 3 criteria published in asbestos-associated diseases, 106 Archive 4 of Pathology and Laboratory Medicine 11, appendix 3 (October 5 8, 1982), or grade one or higher in pathology of asbestosis, 6 134 Archive of Pathology and Laboratory Medicine 462-80 (March 7 2010) (tables 2 and 3), as amended at the time of the exam, and 8 there is no other more likely explanation for the presence of 9 the fibrosis. 10 18. “Pathological evidence of silicosis” means a statement by 11 a physician who is board-certified in pathology that more than 12 one representative section of lung tissue uninvolved with any 13 other disease process demonstrates complicated silicosis with 14 characteristic confluent silicotic nodules or lesions equal 15 to or greater than one centimeter and birefringent crystals 16 or other demonstration of crystal structures consistent with 17 silica, well-organized concentric whorls of collagen surrounded 18 by inflammatory cells, in the lung parenchyma and no other 19 more likely explanation for the presence of the fibrosis 20 exists, or acute silicosis with characteristic pulmonary edema, 21 interstitial inflammation, and the accumulation within the 22 alveoli of proteinaceous fluid rich in surfactant. 23 19. “Plaintiff” means the person bringing an asbestos action 24 or silica action, including a personal representative if the 25 asbestos action or silica action is brought by an estate, or 26 a conservator or next friend if the asbestos action or silica 27 action is brought on behalf of a minor or legally incapacitated 28 individual. 29 20. “Predicted lower limit of normal” means the test 30 value that is the calculated standard convention lying at 31 the fifth percentile, below the upper ninety-five percent of 32 the reference population, based on age, height, and gender, 33 according to the recommendations by the American thoracic 34 society and as referenced in the applicable AMA guides, 35 -9- LSB 1990XC (7) 87 jh/nh 9/ 28

S.F. _____ primarily national health and nutrition examination survey 1 predicted values, or as amended. 2 21. “Pulmonary function test” means spirometry, lung volume 3 testing, and diffusion capacity testing, including appropriate 4 measurements, quality control data, and graphs, performed in 5 accordance with the methods of calibration and techniques 6 provided in the applicable AMA guides and all standards 7 provided in the official statements of the American thoracic 8 society in effect on the day pulmonary function testing of the 9 exposed person was conducted. 10 22. “Qualified physician” means a physician who is 11 board-certified in internal medicine, board-certified 12 in pathology, board-certified in pulmonary medicine, or 13 board-certified in occupational medicine, as may be appropriate 14 to the actual diagnostic specialty in question, and for whom 15 all of the following are true: 16 a. The physician conducted a physical examination of 17 the exposed person and has taken a detailed occupational, 18 exposure, medical, smoking, and social history from the exposed 19 person, or if the exposed person is deceased, has reviewed the 20 pathology material and has taken a detailed history from the 21 person most knowledgeable about the information forming the 22 basis of the asbestos action or silica action. 23 b. The physician treated or is treating the exposed person, 24 and has or had a doctor-patient relationship with the exposed 25 person at the time of the physical examination, or in the case 26 of a physician who is board-certified in pathology, examined 27 tissue samples or pathological slides of the exposed person at 28 the request of the treating physician. 29 c. The physician spends no more than twenty-five percent of 30 the physician’s professional practice time providing consulting 31 or expert services in actual or potential civil actions, and 32 whose medical group, professional corporation, clinic, or other 33 affiliated group earns not more than twenty-five percent of its 34 revenue providing such services. 35 -10- LSB 1990XC (7) 87 jh/nh 10/ 28

S.F. _____ d. The physician was licensed to practice on the date any 1 examination or pulmonary function testing was conducted, and 2 actively practices or practiced in the state where the exposed 3 person resides or resided at the time of the examination or 4 pulmonary function testing, or the state where the asbestos 5 action or silica action was filed. 6 e. The physician received or is receiving payment for the 7 treatment of the exposed person from the exposed person, a 8 member of the exposed person’s family, or the exposed person’s 9 health care plan and not from the exposed person’s attorney. 10 f. The physician prepared or directly supervised the 11 preparation and final review of any medical report under this 12 chapter. 13 g. The physician has not relied on any examinations, tests, 14 radiographs, reports, or opinions of any physician, clinic, 15 laboratory, or testing company that performed an examination, 16 test, radiograph, or screening of the exposed person in 17 violation of any law, regulation, licensing requirement, or 18 medical code of practice of the state in which the examination, 19 test, or screening was conducted, or that was conducted without 20 establishing a physician-patient relationship with the exposed 21 person or medical personnel involved in the examination, test, 22 or screening process, or that required the exposed person to 23 agree to retain the service of an attorney. 24 23. “Radiological evidence of asbestosis” means a quality 1 25 chest X ray under the ILO system, or a quality 2 chest X ray 26 in a death case when no pathology or quality 1 chest X ray is 27 available, showing bilateral small, irregular opacities (s, t, 28 or u) occurring primarily in the lower lung zones graded by a 29 certified B-reader as at least 1/1 on the ILO scale. 30 24. “Radiological evidence of diffuse bilateral pleural 31 thickening” means a quality 1 chest X ray under the ILO system, 32 or a quality 2 chest X ray in a death case when no pathology or 33 quality 1 chest X ray is available, showing diffuse bilateral 34 pleural thickening of at least b2 on the ILO scale and blunting 35 -11- LSB 1990XC (7) 87 jh/nh 11/ 28

S.F. _____ of at least one costophrenic angle as classified by a certified 1 B-reader. 2 25. “Radiological evidence of silicosis” means a quality 3 1 chest X ray under the ILO system, or a quality 2 chest X 4 ray in a death case when no pathology or quality 1 chest X 5 ray is available, showing bilateral predominantly nodular 6 or rounded opacities (p, q, or r) occurring primarily in 7 the upper lung fields graded by a certified B-reader as at 8 least 1/1 on the ILO scale or A, B, or C sized opacities 9 representing complicated silicosis or acute silicosis with 10 characteristic pulmonary edema, interstitial inflammation, and 11 the accumulation within the alveoli of proteinaceous fluid rich 12 in surfactant. 13 26. “Silica” means a respirable crystalline form of silicon 14 dioxide, including quartz, cristobalite, and tridymite. 15 27. “Silica action” means a claim for damages or other civil 16 or equitable relief presented in a civil action arising out 17 of, based on, or related to the health effects of exposure to 18 silica, including loss of consortium, wrongful death, mental 19 or emotional injury, risk or fear of disease or other injury, 20 costs of medical monitoring or surveillance, and any other 21 derivative claim made by or on behalf of a person exposed to 22 silica or a representative, spouse, parent, child, or other 23 relative of that person. 24 28. “Silicosis” means simple silicosis, acute silicosis, 25 accelerated silicosis, or chronic silicosis caused by the 26 inhalation of respirable silica. 27 29. “Supporting test results” means copies of the B-reading; 28 pulmonary function tests, including printouts of the flow 29 volume loops, volume time curves, diffusing capacity of the 30 lung for carbon monoxide graphs, lung volume tests and graphs, 31 quality control data and other pertinent data for all trials 32 and all other elements required to demonstrate compliance with 33 the equipment, quality, interpretation, and reporting standards 34 set forth in this chapter; B-reader reports; reports of X 35 -12- LSB 1990XC (7) 87 jh/nh 12/ 28

S.F. _____ ray examinations; diagnostic imaging of the chest; pathology 1 reports; and all other tests reviewed by the diagnosing 2 physician or a qualified physician in reaching the physician’s 3 conclusions. 4 Sec. 12. NEW SECTION . 686B.3 Filing claims —— establishment 5 of prima facie case —— individual actions to be filed. 6 1. A plaintiff in an asbestos action involving a 7 nonmalignant condition or a silica action involving silicosis 8 shall file with the complaint or other initial pleading a 9 detailed narrative medical report and diagnosis, signed under 10 oath by a qualified physician and accompanied by supporting 11 test results, which constitute prima facie evidence that the 12 exposed person meets the requirements of this chapter. The 13 report shall not be prepared by an attorney or person working 14 for or on behalf of an attorney. 15 2. A plaintiff shall include with the detailed narrative 16 medical report a sworn information form containing all of the 17 following: 18 a. The name, address, date of birth, social security 19 number, marital status, occupation, and employer of the exposed 20 person, and any person through whom the exposed person alleges 21 exposure. 22 b. The plaintiff’s relationship to the exposed person or 23 person through whom the exposure is alleged. 24 c. The specific location and manner of each alleged 25 exposure, including the specific location and manner of 26 exposure for any person through whom the exposed person alleges 27 exposure. 28 d. The beginning and ending dates of each alleged exposure. 29 e. The identity of the manufacturer of the specific asbestos 30 or silica product for each exposure. 31 f. The identity of the defendant or defendants against whom 32 the plaintiff asserts a claim. 33 g. The specific asbestos-related or silica-related disease 34 claimed to exist. 35 -13- LSB 1990XC (7) 87 jh/nh 13/ 28

S.F. _____ h. Any supporting documentation relating to the information 1 required under this subsection. 2 3. For an asbestos action or silica action pending as of 3 the effective date of this Act, the detailed narrative medical 4 report and supporting test results and sworn information form 5 described in subsections 1 and 2 shall be provided to all 6 parties not later than ninety days after the effective date of 7 this Act or not later than ninety days before trial, whichever 8 is earlier. 9 4. A defendant shall be afforded a reasonable opportunity 10 to challenge the adequacy of the prima facie evidence before 11 trial. 12 5. The court shall dismiss the asbestos action or silica 13 action without prejudice on finding that the plaintiff has 14 failed to make the prima facie showing required by this chapter 15 or failed to comply with the requirements of this section. 16 6. An asbestos action or silica action must be individually 17 filed and shall not be filed on behalf of a group or class of 18 plaintiffs. 19 Sec. 13. NEW SECTION . 686B.4 Asbestos claims involving 20 nonmalignant conditions —— elements of proof. 21 An asbestos action involving a nonmalignant condition shall 22 not be brought or maintained in the absence of prima facie 23 evidence that the exposed person has a physical impairment for 24 which asbestos exposure was a substantial contributing factor. 25 The prima facie showing shall be made as to each defendant 26 and include a detailed narrative medical report and diagnosis 27 signed under oath by a qualified physician that includes all 28 of the following: 29 1. Radiological or pathological evidence of asbestosis or 30 radiological evidence of diffuse bilateral pleural thickening 31 or a high-resolution computed tomography scan showing evidence 32 of asbestosis or diffuse bilateral pleural thickening. 33 2. A detailed occupational and exposure history from 34 the exposed person or, if that person is deceased, from the 35 -14- LSB 1990XC (7) 87 jh/nh 14/ 28

S.F. _____ person most knowledgeable about the exposures that form the 1 basis of the action, including identification of all of the 2 exposed person’s principal places of employment and exposures 3 to airborne contaminants and whether each place of employment 4 involved exposures to airborne contaminants, including asbestos 5 fibers or other disease-causing dusts or fumes, that may cause 6 pulmonary impairment and the nature, duration, and level of any 7 exposure. 8 3. A detailed medical, social, and smoking history from the 9 exposed person or, if that person is deceased, from the person 10 most knowledgeable, including a thorough review of the past and 11 present medical problems of the exposed person and the most 12 probable cause of such medical problems. 13 4. Evidence verifying that at least fifteen years have 14 elapsed between the exposed person’s date of first exposure to 15 asbestos and the date of diagnosis. 16 5. Evidence based upon a personal medical examination 17 and pulmonary function testing of the exposed person or, 18 if the exposed person is deceased, based upon the person’s 19 medical records, that the exposed person has or the deceased 20 person had a permanent respiratory impairment rating of at 21 least class 2 as defined by and evaluated pursuant to the 22 AMA guides or reported significant changes year to year in 23 lung function for FVC, FEV1, or diffusing capacity of the 24 lung for carbon monoxide as defined by the American thoracic 25 society’s interpretative strategies for lung function tests, 26 26 European Respiratory Journal 948-68, 961-62, table 12 (2005), 27 as updated. 28 6. Evidence that asbestosis or diffuse bilateral pleural 29 thickening, rather than chronic obstructive pulmonary disease, 30 is a substantial contributing factor to the exposed person’s 31 physical impairment, based on a determination that the exposed 32 person has any of the following: 33 a. FVC below the predicted lower limit of normal and 34 FEV1/FVC ratio, using actual values, at or above the predicted 35 -15- LSB 1990XC (7) 87 jh/nh 15/ 28

S.F. _____ lower limit of normal. 1 b. Total lung capacity, by plethysmography or timed gas 2 dilution, below the predicted lower limit of normal. 3 c. A chest X ray showing bilateral small, irregular 4 opacities (s, t, or u) graded by a certified B-reader as at 5 least 2/1 on the ILO scale. 6 7. The qualified physician signing the detailed narrative 7 medical report has concluded that exposure to asbestos was 8 a substantial contributing factor to the exposed person’s 9 physical impairment and not more probably the result of other 10 causes. An opinion that the medical findings and impairment 11 are consistent with or compatible with exposure to asbestos, 12 or similar opinion, does not satisfy the requirements of this 13 subsection. 14 Sec. 14. NEW SECTION . 686B.5 Silica claims involving 15 silicosis —— elements of proof. 16 A silica action involving silicosis shall not be brought 17 or maintained in the absence of prima facie evidence that the 18 exposed person has a physical impairment for which exposure 19 to silica was a substantial contributing factor. The prima 20 facie showing shall be made as to each defendant and include 21 a detailed narrative medical report and diagnosis signed 22 under oath by a qualified physician that includes all of the 23 following: 24 1. Radiological or pathological evidence of silicosis or a 25 high-resolution computed tomography scan showing evidence of 26 silicosis. 27 2. A detailed occupational and exposure history from the 28 exposed person or, if that person is deceased, from the person 29 most knowledgeable about the exposures that form the basis of 30 the action, including identification of all principal places 31 of employment and exposures to airborne contaminants and 32 whether each place of employment involved exposures to airborne 33 contaminants, including silica or other disease-causing dusts 34 or fumes, that may cause pulmonary impairment and the nature, 35 -16- LSB 1990XC (7) 87 jh/nh 16/ 28

S.F. _____ duration, and level of any exposure. 1 3. A detailed medical, social, and smoking history from the 2 exposed person or, if that person is deceased, from the person 3 most knowledgeable, including a thorough review of the past and 4 present medical problems of the exposed person and the most 5 probable cause of such medical problems. 6 4. Evidence that a sufficient latency period has elapsed 7 between the exposed person’s date of first exposure to silica 8 and the day of diagnosis. 9 5. Evidence based upon a personal medical examination 10 and pulmonary function testing of the exposed person or, 11 if the exposed person is deceased, based upon the person’s 12 medical records, that the exposed person has or the deceased 13 person had a permanent respiratory impairment rating of at 14 least class 2 as defined by and evaluated pursuant to the 15 AMA guides or reported significant changes year to year in 16 lung function for FVC, FEV1, or diffusing capacity of the 17 lung for carbon monoxide as defined by the American thoracic 18 society’s interpretative strategies for lung function tests, 26 19 European Respiratory Journal 948-68, 961-62, table 12 (2005), 20 as updated. 21 6. The qualified physician signing the detailed narrative 22 medical report has concluded that exposure to silica was 23 a substantial contributing factor to the exposed person’s 24 physical impairment and not more probably the result of other 25 causes. An opinion stating that the medical findings and 26 impairment are consistent with or compatible with exposure to 27 silica, or similar opinion, does not satisfy the requirements 28 of this subsection. 29 Sec. 15. NEW SECTION . 686B.6 Evidence of physical 30 impairment. 31 Evidence relating to physical impairment, including 32 pulmonary function testing and diffusing studies, offered in 33 an action governed by this chapter, must satisfy all of the 34 following requirements: 35 -17- LSB 1990XC (7) 87 jh/nh 17/ 28

S.F. _____ 1. The evidence must comply with the quality controls, 1 equipment requirements, methods of calibration, and techniques 2 set forth in the AMA guides and all standards set forth in the 3 official statements of the American thoracic society which are 4 in effect on the date of any examination or pulmonary function 5 testing of the exposed person required by this chapter. 6 2. The evidence must not be obtained by or based on testing 7 or examinations that violate any law, regulation, licensing 8 requirement, or medical code of practice of the state in which 9 the examination, test, or screening was conducted, or of this 10 state. 11 3. The evidence must not be obtained under the condition 12 that the plaintiff or exposed person retains the legal services 13 of the attorney sponsoring the examination, test, or screening. 14 Sec. 16. NEW SECTION . 686B.7 Procedures —— limitation. 15 1. Evidence relating to the prima facie showings required 16 under this chapter shall not create any presumption that the 17 exposed person has an asbestos-related or silica-related injury 18 or impairment, and shall not be conclusive as to the liability 19 of any defendant. 20 2. No evidence shall be offered at trial, and the jury shall 21 not be informed, of any of the following: 22 a. The grant or denial of a motion to dismiss an asbestos 23 action or silica action under the provisions of this chapter. 24 b. The provisions of this chapter with respect to what 25 constitutes a prima facie showing of asbestos-related 26 impairment or silica-related impairment. 27 3. Until a court enters an order determining that the 28 exposed person has established prima facie evidence of 29 impairment, an asbestos action or silica action shall not be 30 subject to discovery, except discovery related to establishing 31 or challenging the prima facie evidence or by order of the 32 trial court upon motion of one of the parties and for good 33 cause shown. 34 4. a. A court may consolidate for trial any number and 35 -18- LSB 1990XC (7) 87 jh/nh 18/ 28

S.F. _____ type of asbestos actions or silica actions with the consent of 1 all the parties. In the absence of such consent, the court may 2 consolidate for trial only asbestos actions or silica actions 3 relating to the exposed person and members of that person’s 4 household. 5 b. This subsection does not preclude the consolidation of 6 cases by court order for pretrial or discovery purposes. 7 5. A defendant in an asbestos action or silica action shall 8 not be liable for exposures from a product or component part 9 made or sold by a third party. 10 Sec. 17. NEW SECTION . 686B.8 Statute of limitations —— 11 two-disease rule. 12 1. With respect to an asbestos action or silica action not 13 barred by limitations as of the effective date of this Act, an 14 exposed person’s cause of action shall not accrue, nor shall 15 the running of limitations commence, prior to the earliest of 16 the following: 17 a. The exposed person received a medical diagnosis of an 18 asbestos-related impairment or silica-related impairment. 19 b. The exposed person discovered facts that would have 20 led a reasonable person to obtain a medical diagnosis with 21 respect to the existence of an asbestos-related impairment or 22 silica-related impairment. 23 c. The date of death of the exposed person having an 24 asbestos-related impairment or silica-related impairment. 25 2. This section shall not be construed to revive or extend 26 limitations with respect to any claim for asbestos-related 27 impairment or silica-related impairment that was otherwise 28 time-barred as of the effective date of this Act. 29 3. An asbestos action or silica action arising out of a 30 nonmalignant condition shall be a distinct cause of action from 31 an action for an asbestos-related cancer or silica-related 32 cancer. Where otherwise permitted under state law, no damages 33 shall be awarded for fear or increased risk of future disease 34 in an asbestos action or silica action. 35 -19- LSB 1990XC (7) 87 jh/nh 19/ 28