HAWAII REFORMS

Appeal Bond Reform: H.B. 3250 (2006).  Limits the appeal bond to $25 million, regardless of the amount of judgment.  Provided a provision for small businesses that limits the appeal bond to $1 million.

Collateral Source Rule Reform: SB S1 (special session) (1986): Sunset provision (SB 1529) enacted in 1991.  Provides for the payment of valid liens (arising out of claims for payments made from collateral sources for costs and expenses arising from an injury) from special damages recovered.  Prevents double recoveries by allowing subrogation liens by insurance companies or other sources.  Allows third parties to file a lien and collect the benefits paid to the plaintiff from the plaintiff’s award. The reform does not affect the amount of damages paid by the defendant to the plaintiff.

Frivolous Lawsuit Sanction: SB S1 (special session) (1986): Sunset provision (SB 1529) enacted in 1991.  Allows a court to assess sanctions not exceeding 25% of the losses claimed as a penalty for frivolous lawsuits or defenses.

Joint and Several Liability Reform: HB 1088 (1994).  Bars application of the rule of joint and several liability in the recovery of all damages from all governmental entities.

Joint and Several Liability Reform: SB S1 (special session) (1986): Sunset provision (SB 1529) enacted in 1991.  Bars application of the rule of joint and several liability in the recovery of noneconomic damages from defendants found to be 25% or less at fault.  The reform does not apply to auto, product, or environmental cases.

Medical Liability Reform: Contingent Fee Reform: Haw. Rev. Stat. § 607-15.5.  Limits contingent fees in medical liability cases to a “reasonable amount,” as determined by the court.

Noneconomic Damages Reform: SB S1 (special session) (1986): Sunset provision (SB 1529) enacted in 1991: Haw. Rev. Stat. §§ 663-8.7, 663-10.9(2).  Limits noneconomic damages for physical pain and suffering to $375,000.