Recent New Jersey News

November 2024 Newsletter

Socializing and improving safeguards against liability Social media presents unique risks for health care professionals, making well-crafted policies essential to mitigate growing liability concerns. Physician’s Weekly presents a podcast series offering fresh...

MPL Severity on the Rise: A Gathering Storm

Although the number of medical professional liability (MPL) lawsuits, known as claim frequency, has decreased during the past decade, the average amount spent overall on claims, known as severity, continues to increase. Frequency did not spike even after the COVID-19...

July 2024 Newsletter

COVID-era pandemic protection law put to the test in Indiana An Indiana law that offered protections for health care responders and facilities confronting the COVID-19 pandemic was tested earlier this month, as a challenge was mounted following an adverse outcome that...

Current Medical Liability Laws

Damage Caps	Punitive damages limited to the greater of $350,000; or five times compensatory damages.
Joint Liability Reform	Yes. Defendants are responsible only for their proportionate share of negligence if they are found to be less than 60% at fault. Defendants found to be 60% at fault are subject to a modified rule.
Collateral Source Reform	Collateral source payments must be disclosed and deducted from claimant’s damages. New Jersey Statutes § 2A:15-97. The Third Circuit Court of Appeals has held that ERISA preempts this collateral source law. Levine v. United Healthcare Corp., 402 F.3d 156 (3rd Cir. 2005).
Attorney Fees Limited	Yes. Fees may not exceed the following: 33 1/3% of the first $500,000; 30% of the next $500,000; 25% of the next $500,000; 20% of the next $500,000; and an amount the court deems reasonable for fees over $2 million.
Periodic Payments Permitted	Yes, New Jersey Statutes § 17:30D-27 (2020) states that: “Unless otherwise agreed to by the parties, in any judgment resulting from a medical malpractice action brought by a claimant for medical malpractice in which the noneconomic damages exceed $1,000,000, the court shall enter a judgment ordering that 50% of the noneconomic damages be paid immediately, with the costs and attorney’s fees to be paid from that amount. The remaining 50% of the judgment shall be paid over 60 months in the form of a structured payment agreement by any person, organization, group, or insurer that is contractually liable to pay the judgment.”