In a significant legislative move, the Florida Legislature in early 2023 enacted sweeping tort reform legislation, reshaping the legal landscape for claims and litigation in the state. The new laws, effective March 24, 2023, had triggered a surge in legal actions, with Plaintiff’s attorneys filing tens of thousands of lawsuits in anticipation of the changes. Here is a brief but detailed examination of the key provisions and their implications:
1. Attorney’s Fees: A Shift in Dynamics
One of the notable changes is the elimination of one-way attorney’s fees for Plaintiffs in first-party cases. Exceptions remain in cases where the insurer denies coverage, and the insured prevails in a declaratory action. Furthermore, amendments to Florida Statute § 57.104 curtail attorney’s fee multipliers, limiting fees to the reasonable lodestar fee (i.e., multiply the number of hours reasonably expended by a reasonable hourly rate). Courts may only award a multiplier under rare and exceptional circumstances.
2. Statute of Limitations for Negligence: Time Constraints Tightened
The statute of limitations for negligence claims has now been reduced from four (4) years to two (2) years. Although the legislation is explicit about its prospective application, some Courts have ruled on retroactive applicability. It is crucial for legal practitioners to assess the specific circumstances and consult with Florida Counsel for case-specific considerations.
3. Comparative Fault: Shifting Towards Contributory Negligence
Florida’s departure from existing comparative fault laws brings it closer to a contributory negligence state. If a Claimant, Plaintiff, or victim is found more at fault than the Defendant, the said Plaintiff may be barred from any recovery. For instance, if the Plaintiff is determined to be over 50% at fault for their injury, they may be precluded from seeking damages.
4. Premises Liability-Negligent Security: Apportioning Fault
Under the new legislation, juries can now consider the fault of all persons contributing to an injury, including the intentional actor/assailant. This significant departure from prior law allows for a more nuanced assessment of fault, impacting premises liability cases, particularly those involving negligent security claims.
5. Bad Faith: Addressing Set-Ups and Procedures
The legislation introduced substantial changes to bad faith claims. Insurers are shielded from statutory or common law bad faith claims if they promptly tender policy limits or the demanded amount within 90 days of receiving notice accompanied by sufficient evidence. The law also establishes criteria for multi-claimant scenarios, allowing insurers to file interpleaders or agree to binding arbitration, providing immunity beyond policy limits under certain conditions.
6. Medical Bills/Letter of Protection: Curbing Excessive Charges
The legislation imposed limitations on medical bills and letters of protection to address inflated medical charges. It establishes specific amounts that providers may charge, introducing conditions and disclosure requirements for letters of protection. Additionally, it restricts recoverable damages for medical treatment to the amount actually paid by the claimant or their health insurance carrier.
While the legislation explicitly stated its applicability to cases and claims filed after March 24, 2023, a few court rulings have introduced an element of uncertainty regarding retroactive application. Attorneys and litigants should exercise diligence in assessing the evolving legal landscape and seek guidance from an experienced Florida attorney to navigate the nuanced implications of these transformative legislative changes.
The foregoing is merely a general and brief overview of the 2023 Florida law affecting accident and negligence as well as affiliated claims and litigation in the state, which causes an even greater need for the assistance of an experienced Personal Injury attorney.
If you have any additional questions regarding the foregoing or have any legal issue or concern, please contact the law firm of CASERTA & SPIRITI in Miami Lakes, Florida.