As anticipated in our previous C&W Journal (when a new bill had only just been placed on the Pennsylvania House agenda), the “Fair Share Act” is now law in Pennsylvania, having been signed by Governor Corbett this week. The following is a brief summary of the new law and its implications.

Under prior Pennsylvania law, if you were a defendant in a lawsuit with at least one other defendant and were joint tortfeasors*, you would be responsible for paying 100% of any verdict awarded to the plaintiff, even if a jury or judge determined that you were only 1% liable for the plaintiff’s injuries. This is what is known in the law as joint and several liability, which was enacted in Pennsylvania under 42 Pa.C.S.A. §7102(b).

Under joint and several liability, any defendant was responsible for paying another joint tortfeasor’s share of an award if, for instance, it was easier for the plaintiff to collect against that particular defendant. That defendant’s only recourse was then to seek contribution from the defendant whose share it ended up paying.

II. Change in the LawUnder the new law, each defendant generally will be liable only for that proportion of the total dollar amount awarded as damages in the ratio of the amount of that defendant’s liability. Further, that defendant’s liability will be several and not joint. In other words, the court will enter a separate judgment against each defendant only for the apportioned amount of that defendant’s liability.

There are certain exceptions to the new rule—wherein a defendant’s liability will remain joint and several—including claims of intentional misrepresentation, intentional torts, and cases where a defendant has been held liable for at least 60% of the total liability apportioned to all parties.

*Defined as “two or more persons jointly or severally liable in tort for the same injury to persons or property.” 42 Pa. C.S.A. §8322.

What It Means to You

III. Conclusion This change in the law dramatically alters the landscape of defense litigation, most notably in its practical implications for our clients. If you have questions regarding how this change in the law affects you, whether it affects current litigation or claims not yet in litigation, or how it is affected by a settlement of one but not all defendants, please do not hesitate to contact us. A copy of the new law that amends the comparative negligence statute can be found here: http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=….