Texas Senate advances liability reform for truck rule
Injury liability reform that would benefit the Texas trucking industry has taken another step toward becoming reality. The issue has been highlighted as a priority for a fix by Lt. Gov. Dan Patrick.
Sen. Brian Birdwell, R-Granbury, and Rep. Jeff Leach, R-Plano, are leading efforts this year in both statehouse chambers to put plaintiffs and defendants on even footing. The Senate bill is SB39, and the House bill is HB4688.
“Senate Bill 39 seeks to make commercial motor vehicle lawsuits more consistent and uniform by repealing those exceptions to the admission rule that were amended onto HB19,” Birdwell explained Thursday, April 24 on the Senate floor. “The removal of the exceptions would appropriately codify the admission rule.”
In an effort to fix the problem, Senate lawmakers voted 21-10 on Thursday to advance SB39, which would remove from statute the admission rule exceptions.
Fixing existing law
The liability problem legislators are looking to address stems from a 2021 law that was intended to reduce lawsuit abuse against truck drivers and motor carriers but that never materialized.
The four-year-old rule requires a court to dismiss a lawsuit against a truck operator if the injury or death of another person was caused while the operator was carrying out his or her duties “within the scope of employment.”
For cases that go to trial, a bifurcated process was established. The term is used to describe a trial split into two phases. The initial phase focuses solely on the incident under the state’s negligence standard.
Trials that make it to the second phase can take into consideration the company’s past. Allowable evidence during this phase could include an employer’s failure to comply with an applicable local, state or federal regulation or standard.
The liability issue being addressed this year by state lawmakers resulted from an amendment that was included in the 2021 law – known at the time as HB19.
The change incorporated exceptions to the admission rule that allowed plaintiff’s attorneys to introduce into the first phase of a bifurcated commercial vehicle collision trial evidence where trucking companies knowingly hired a negligent driver.
Legislators have since found the exception in statute actually ended up blocking the 2021 law’s framework from being used in trial.
OOIDA backs bill
The Owner-Operator Independent Drivers Association supports the action to help protect truck drivers from nuclear verdicts and to restore commonsense and fairness to the state’s legal system.
The Association issued a Call to Action to Texas members encouraging them to contact their state lawmakers to support the legislation. The communication states that the legislation would allow only evidence related to proving who is at fault for a crash to be admitted during the trial’s first phase, rather than information that has no basis in determining the facts of a case.
“In recent years, nuclear verdicts against the trucking industry have exceeded tens of millions of dollars. These verdicts drive up costs across the board for the industry and encourage trial lawyers to further target small-business truckers,” OOIDA said.
SB39 next moves to the House. HB4688 has advanced from committee and awaits further consideration on the House floor. LL