Joint and Several Liability

Problem

The rule of joint and several liability is neither fair, nor rational, because it fails to equitably distribute liability. The rule allows a defendant only minimally liable for a given harm to be forced to pay the entire judgment, where the co-defendants are unable to pay their share.

ATRA's Position:

ATRA supports replacing the rule of joint and several liability with the rule of proportionate liability. In a proportionate liability system, each co-defendant is proportionally liable for the plaintiff’s harm. For example, a co-defendant that is found by a jury to be 20% responsible for a plaintiff’s injury would be required to pay no more than 20% of the entire settlement. More moderate reforms that ATRA supports include: (1) barring the application of joint and several liability to recover non-economic damages; and (2) barring the application of joint and several liability to recover from co-defendants found to be responsible for less than a certain percentage (such as 25%) of the plaintiff’s harm.


Opposition Opinion:

The personal injury bar’s argument in support of joint and several liability—that the rule protects the right of their clients to be fully compensated—fails to address the hardship imposed by the rule on co-defendants that are required to pay damages beyond their proportion of fault.

Joint and Several Liability Reform: HB 5154 (1986): MCLS § 600.6304(4), MCLS § 600.6312.

Michigan|1986

Bars application of the rule of joint and several liability

[…]

Bars application of the rule of joint and several liability in the recovery of all damages from municipalities.  Bars application of the rule of joint and several liability in the recovery of all damages from all other defendants, except in products liability actions and actions involving a blame‑free plaintiff.  Provides that defendants are severally liable, except when uncollectible shares of a judgment are reallocated between solvent co‑defendants according to their degree of negligence.


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