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H0543................................by JUDICIARY, RULES AND ADMINISTRATION EMPLOYER LIABILITY - Adds to existing law to limit the legal liability of an employer for the tortious acts of an employee. 02/10 House intro - 1st rdg - to printing 02/11 Rpt prt - to Jud 02/18 Rpt out - rec d/p - to 2nd rdg 02/21 2nd rdg - to 3rd rdg 02/24 3rd rdg - PASSED - 61-0-9 AYES -- Alltus, Barraclough, Barrett, Bell, Bieter, Black, Boe, Bruneel, Callister, Campbell, Chase, Cheirrett, Clark, Crow, Cuddy, Denney, Ellsworth, Field(20), Gagner, Hadley, Hansen(23), Hansen(29), Henbest, Hornbeck, Jaquet, Jones, Judd, Kempton, Kendell, Kunz, Lake, Loertscher, Mader, Marley, McKague, Meyer, Montgomery, Mortensen, Moss, Moyle, Pearce, Pomeroy, Reynolds, Ridinger, Ringo, Robison, Sali, Schaefer, Sellman, Shepherd, Smith, Smylie, Stevenson, Stoicheff, Stone, Taylor, Tilman, Trail(Miller), Wheeler, Wood, Zimmermann NAYS -- None Absent and excused -- Deal, Field(13), Geddes, Gould, Hammond, Kellogg, Linford, Pischner, Mr Speaker Floor Sponsor - Hansen(23) Title apvd - to Senate 02/25 Senate intro - 1st rdg - to Jud 03/02 Rpt out - rec d/p - to 2nd rdg 03/03 2nd rdg - to 3rd rdg 03/27 3rd rdg - PASSED - 32-1-2 AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron, Crow, Danielson, Darrington, Davis, Deide, Dunklin, Frasure, Geddes, Hawkins, Ingram, Ipsen, Keough, Lee, McLaughlin, Noh, Parry, Richardson, Riggs, Risch, Sandy, Schroeder, Sorensen, Stegner, Thorne, Wheeler, Williams NAYS--Whitworth Absent and excused--King-Barrutia, Stennett Floor Sponsors - Darrington, Bunderson Title apvd - to House 03/28 To enrol 03/29 Rpt enrol - Sp signed 03/30 Pres signed 03/31 To Governor 04/05 Governor signed Session Law Chapter 210 Effective: 07/01/00
H0543|||| LEGISLATURE OF THE STATE OF IDAHO |||| Fifty-fifth Legislature Second Regular Session - 2000IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 543 BY JUDICIARY, RULES AND ADMINISTRATION COMMITTEE 1 AN ACT 2 RELATING TO EMPLOYER LIABILITY FOR ACTS OF AN EMPLOYEE; PROVIDING LEGISLATIVE 3 INTENT; AND AMENDING CHAPTER 16, TITLE 6, IDAHO CODE, BY THE ADDITION OF A 4 NEW SECTION 6-1607, IDAHO CODE, TO LIMIT THE LIABILITY OF AN EMPLOYER FOR 5 THE TORTIOUS ACTS OF AN EMPLOYEE. 6 Be It Enacted by the Legislature of the State of Idaho: 7 SECTION 1. LEGISLATIVE INTENT. It is the intent of the Legislature that 8 the potential liability of an employer for the acts of a former employee com- 9 mitted when the employee no longer works for the employer be limited to cases 10 in which the former employer's acts were grossly negligent or reckless, will- 11 ful and wanton. It further is the intent of the Legislature that the potential 12 liability of an employer for the acts of a current employee committed while 13 the employee is "off the clock" also be limited. 14 This act creates a limited immunity for an employer for acts of a former 15 employee. It also creates a presumption that an employer is not liable for the 16 acts of a current employee "off the clock." Because an employer has no legal 17 right to restrict or control an employee's actions when that employee is not 18 working for the employer, absent unusual circumstances an employer ought not 19 be liable for the actions of an employee committed on the employee's "own" 20 time. This act attempts to distinguish between acts of an employee while the 21 employee is working for the employer and acts of an employee as a "private 22 citizen." If a person is acting as an employee, or reasonably appears to be 23 doing so, an employer may be found liable under ordinary rules of negligence 24 and respondeat superior. This includes circumstances in which an employee is 25 wholly or partially engaged in the employer's business such as when an 26 employee commits an act which he is not employed to commit, during work hours 27 or at a time when an employer or a third party reasonably believes the 28 employee is engaged in the employer's business. 29 SECTION 2. That Chapter 16, Title 6, Idaho Code, be, and the same is 30 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 31 ignated as Section 6-1607, Idaho Code, and to read as follows: 32 6-1607. EMPLOYER LIABILITY FOR EMPLOYEE TORTS. (1) No employer shall be 33 directly or indirectly liable in tort based upon an employer/employee rela- 34 tionship for any act or omission of an employee which occurs after the termi- 35 nation of the employee's employment unless it is shown by clear and convincing 36 evidence that the acts or omissions of the employer itself constitute gross 37 negligence or reckless, willful and wanton conduct as those standards are 38 defined in section 6-904C, Idaho Code, and were a proximate cause of the dam- 39 age sustained. 40 (2) There shall be a presumption that an employer is not liable in tort 41 based upon an employer/employee relationship for any act or omission of a cur- 42 rent employee unless the employee was wholly or partially engaged in the 2 1 employer's business, reasonably appeared to be engaged in the employer's busi- 2 ness, was on the employer's premises when the allegedly tortious act or omis- 3 sion of the employee occurred, or was otherwise under the direction or control 4 of the employer when the act or omission occurred. This presumption may be 5 rebutted only by clear and convincing evidence that the employer's acts or 6 omissions constituted gross negligence or, reckless, willful and wanton con- 7 duct as those standards are defined in section 6-904C, Idaho Code, and were a 8 proximate cause of the damage sustained. 9 (3) In every civil action to which this section applies, an employer 10 shall have the right (pursuant to pretrial motion and after opportunity for 11 discovery) to a hearing before the court in which the person asserting a claim 12 against an employer must establish a reasonable likelihood of proving facts at 13 trial sufficient to support a finding that liability for damages should be 14 apportioned to the employer under the standards set forth in this section. If 15 the court finds that this standard is not met, the claim against the employer 16 shall be dismissed and the employer shall not be included on a special verdict 17 form. 18 (4) Nothing in this section shall be construed to expand any rights of 19 recovery under the common law or to limit any person's rights under any other 20 statute including, but not limited to, chapter 59, title 67, Idaho Code, and 21 title 72, Idaho Code.
STATEMENT OF PURPOSE RS 09964 This legislation would limit a private or public employer's liability for the acts of former employees committed after the termination of employment and for acts of current employees committed off the job. The person who commits the act which causes the injury will remain responsible for the consequences of the act, but liability will not be imputed to the employer unless the employer has been grossly negligent or reckless. FISCAL IMPACT This bill has no fiscal impact except to the extent that liability of the state and local government entities for tort claims would be reduced. Contact Name: Dawn Justice Phone: 343-1849 Ken McClure Phone: 388-1200 STATEMENT OF PURPOSE/FISCAL NOTE H 543