Montana bill would change rules for lawsuits over defective products

HELENA — A invoice into consideration on the Montana Legislature would make huge modifications in how folks can sue for damages once they consider a product was faulty.

Senate Invoice 216, sponsored by Sen. Steve Fitzpatrick, R-Nice Falls, handed by means of the Senate final month and had its first committee listening to within the Home on Friday. Supporters and opponents painted very totally different footage of what results it could have on folks looking for to sue.

“I believe it’s finally about restoring a little bit bit extra equity and stability into the method,” mentioned Fitzpatrick.

“We’d be an outlier right here if Senate Invoice 216 was handed,” mentioned Al Smith, govt director of the Montana Trial Legal professionals Affiliation.

Fitzpatrick, the Senate majority chief and an lawyer, advised MTN he noticed SB 216 as a set of commonsense modifications to the state’s product legal responsibility legal guidelines. The invoice drew assist Friday from enterprise representatives, together with the Montana Chamber of Commerce and Montana Manufacturing Affiliation, who mentioned it could create a extra business-friendly local weather within the state.

SB 216 would add a number of defenses that producers may declare in the event that they’re sued for damages, like {that a} federal or state authorities company accredited the product earlier than it went on sale, or that the consumer hadn’t adopted a security warning connected to the product.

The invoice additionally would usually bar claims {that a} product is flawed if it was first bought not less than ten years in the past.

“I believe the concept is that after ten years – there’s been circumstances, there’s been modifications – that it is unreasonable to imagine that the product goes to work in addition to it did on the day you obtain it,” Fitzpatrick mentioned.

Exceptions would come with when the vendor knew about and hid a security problem or negligence, and if a product’s guarantee or ads declare an extended usable life than ten years.

SB 216 would additionally forestall a lawsuit in opposition to a retailer who merely bought a faulty product and didn’t have another position in its manufacture. Fitzpatrick mentioned Montana retailers pulled into these circumstances nonetheless should face prolonged proceedings, bills and insurance coverage claims, even when they’re discovered to have achieved nothing improper.

“It simply drives up prices for small companies, and it truly is unfair when you consider it,” he mentioned.

Opponents to SB 216 included trial attorneys, union representatives and individuals who’ve sued beneath the present legislation.

Todd Copenhaver mentioned throughout Friday’s listening to that he was burned whereas dealing with a propane cylinder, and he filed go well with claiming the cylinder had a defective valve. He mentioned the corporate took duty, and he credited Montana’s legal responsibility legislation.

“It simply doesn’t make sense to vary it to save lots of an organization,” he mentioned. “It is sensible to maintain it to save lots of the buyer, the those that use it.”

Smith mentioned the modifications in SB 216 would make it a lot tougher for folks to carry out-of-state corporations accountable.

“I believe that we need to have a courtroom system that is open to all folks for all accidents,” he mentioned. “In any other case, what is the level of getting the courts if the folks can’t entry?”

Smith mentioned retailers are generally added to circumstances, however they’re not usually those who pay important damages. One motive they could possibly be included is that attorneys have hassle figuring out the producer of a product.

“When you go right into a ironmongery store and choose up a software, you’ll have 4 or 5 totally different LLCs behind that earlier than you discover the producer,” he mentioned. “You carry within the retailer; they’re those that assist arrange that chain.”

Fitzpatrick argued retailers are introduced into these circumstances as a result of it makes it simpler to carry a case in state courtroom as an alternative of federal courtroom, and lots of attorneys really feel that could be a extra favorable venue for legal responsibility circumstances.

“I believe in case you are legitimately injured by a faulty product, you might be nonetheless going to have the ability to prosecute a declare,” he mentioned.

SB 216 handed the Senate 33-17 with all however one Republican in favor and all Democrats opposed. The Home Judiciary Committee took no instant motion on the invoice after Friday’s listening to.