The last two sessions of the Tennessee General Assembly have brought about significant tort reform, beginning with the "Tennessee Civil Justice Act of 2011" which was a legislative priority during Governor Bill Haslam’s first year in office. The next several posts provide an overview of the significant tort reforms enacted over the last two years. This summary is not meant to be exhaustive and the text of the statutes must be consulted in connection with analyzing a particular claim.
Non-Economic Damages in Most Civil Actions Capped at $750,000 Per Injured Plaintiff
Pursuant to Tenn. Code Ann. § 29-39-102, non-economic damages are broadly defined to include pain and suffering, physical impairment, mental anguish, emotional distress, loss of enjoyment of life and loss of consortium. The $750,000 cap applies per claimant, and is not increased if a claim is brought against multiple defendants. Nor is the cap increased for derivative claims brought by a spouse, or child, for loss of consortium or other noneconomic damages. There are exceptions, which increase the cap to $1,000,000 per plaintiff, in cases where the injured party sustains a catastrophic injury such as paraplegia, multiple amputations, severe burns, or the claim involves the wrongful death of a parent of one or more minor children.
Note that the cap does not apply to economic damages such as medical expenses, lost earnings or earning capacity, property damage, loss of business or employment opportunities or other objectively verifiable monetary losses. The cap is also removed when the injury is intentional; where the defendant intentionally conceals or destroys evidence; or for injuries resulting from the defendant’s intoxication. Effective June 12, 2012, the cap is also removed if the defendant is convicted of a felony for the actions which caused the injury or damage to the plaintiff.
Part 2 of this series will discuss the cap on punitive damages.
Dan Berexa
Nashville, Tennessee
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