Senate vote puts suit-damages lid on '18 fall ballot

Voter-ID amendment bid goes back to panel for tweak

The Arkansas Senate voted Wednesday to refer to voters in the 2018 general election the latest version of a proposed constitutional amendment that would limit certain damages awards in civil suits and allow the Legislature to rewrite the state Supreme Court's rules.

The Senate also voted to send back to a Senate committee another proposed constitutional amendment that would require the General Assembly to approve a law to require voters to present photo identification in order to cast a ballot.

The Legislature may refer up to three proposed amendments to voters. Joint House and Senate rules allocate one proposal apiece offered by each chamber and require a two-thirds vote in the House and Senate to consider referring a third proposal.

Wednesday, the Senate concurred 20-11 with a House change to Senate Joint Resolution 8, sponsored by Sen. Missy Irvin, R-Mountain View. The amendment in the resolution will appear on the November 2018 ballot.

This successful effort, backed by business and health care interests, comes on the heels of unsuccessful efforts to persuade the Republican-controlled Legislature in 2013 and 2015 to refer similar proposals to voters. Over several years, the state Supreme Court ruled that parts of tort-law changes enacted by the Legislature in 2003 were unconstitutional, including a $1 million limit on punitive-damages awards.

An initiated amendment was offered in 2016, but in October, the Supreme Court declared that "critical" parts of the proposed amendment were insufficiently described in the ballot title. The court blocked the state from counting votes cast on the measure in last year's general election.

Wednesday's final vote sets the stage for campaigns in the next 20 months between business interests and lawyers over the merits of the proposal.

"Essentially, every hired-gun lobbyist in the [state Capitol] building was working on that," said Matthew Haas, chief executive officer of the Arkansas Trial Lawyers Association, which opposes of the proposed amendment. Haas also is a registered lobbyist.

"There is no telling how many millions [proponents] will spend" during their campaign for the proposal, Haas said.

But Randy Zook, president and chief executive officer of the Arkansas Chamber of Commerce and Associated Industries of Arkansas, said he doesn't think the campaigns for and against the proposal will spend tens of millions of dollars. His groups back the proposed amendment.

"It is going be an intense conversation and an intense effort on both sides because it is a very important issue to come up with some sort of, hopefully, a positive outcome from voters," he said. "I would never call anything that's going to be decided at the ballot box as a lead-pipe cinch until the voters are counted."

If approved by voters, SJR8 would place a cap on noneconomic damages at $500,000. It also would limit punitive damages at the greater of either $500,000 or three times the amount of compensatory damages awarded to the claimant, which is the amount of money needed to replace what is lost. The limits wouldn't apply under certain circumstances. The General Assembly would be able to increase these limits with a two-thirds vote of each chamber.

The proposed amendment would allow the Arkansas Supreme Court's rules to take effect without a legislative vote, but lawmakers would be allowed to amend and repeal court rules of pleading, practice or procedure, as well as adopt new rules with a three-fifths vote. Currently, lawmakers do not have a role in these court rules.

The proposed amendment also would limit contingency fees for attorneys in civil lawsuits, limiting them to one-third of the amount of net recovery obtained through a settlement, arbitration or judgment. By a two-thirds vote of each chamber, the Legislature may change the maximum percentage for contingency fees for legal representation under the proposal.

The proposed amendment would become effective on or after Jan. 1, 2019, if voters approved.

At the request of Sen. Bryan King, R-Green Forest, the Senate referred to its State Agencies and Governmental Affairs Committee a proposed amendment on requiring a voter to present a valid photo identification before receiving a ballot to vote in person, and enclose a copy of a valid photo identification with his ballot when using an absentee ballot.

The proposed amendment is House Joint Resolution 1016 by Rep. Robin Lundstrum, R-Elm Springs.

Under HJR1016, the state would issue photo identification at no charge if an eligible voter doesn't have a form of identification meeting the requirements of the law enacted by the General Assembly.

A voter without valid identification would be allowed to cast a provisional ballot, and an absentee ballot without a copy of identification also would be considered a provisional ballot. The votes would be counted with the proper proof.

King said he will ask the Senate committee to change the proposed amendment so "if someone who votes absentee, they can either put a copy of a photo ID [in with their ballot] or a signed affidavit" for their vote to count. He said Lundstrum agreed with the change.

Metro on 03/02/2017

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