2007 Legislation
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SENATE BILL NO. 1154 – Civil actions, dollar amt, atty fee

SENATE BILL NO. 1154

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S1154................................................by JUDICIARY AND RULES
CIVIL ACTIONS - Amends existing law relating to attorney's fees in civil
actions to increase the maximum dollar amount pleaded or claimed for
purposes of allowed costs.
                                                                        
02/13    Senate intro - 1st rdg - to printing
02/14    Rpt prt - to Jud

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   First Regular Session - 2007
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1154
                                                                        
                              BY JUDICIARY AND RULES COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO ATTORNEY'S FEES IN CIVIL ACTIONS; AMENDING SECTION  12-120,  IDAHO
  3        CODE,  TO  INCREASE  THE MAXIMUM DOLLAR AMOUNT PLEADED OR CLAIMED FOR PUR-
  4        POSES OF ALLOWED COSTS.
                                                                        
  5    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  6        SECTION 1.  That Section 12-120, Idaho Code, be, and the  same  is  hereby
  7    amended to read as follows:
                                                                        
  8        12-120.  ATTORNEY'S  FEES IN CIVIL ACTIONS. (1) Except as provided in sub-
  9    sections (3) and (4) of this section, in any action where the  amount  pleaded
 10    is twenty-five fifty thousand dollars ($250,000) or less, there shall be taxed
 11    and  allowed  to  the  prevailing party, as part of the costs of the action, a
 12    reasonable amount to be fixed by the court as attorney's fees. For the  plain-
 13    tiff to be awarded attorney's fees, for the prosecution of the action, written
 14    demand  for the payment of such claim must have been made on the defendant not
 15    less than ten (10) days before the commencement of the action; provided,  that
 16    no  attorney's  fees shall be allowed to the plaintiff if the court finds that
 17    the defendant tendered to the plaintiff, prior  to  the  commencement  of  the
 18    action,  an  amount  at least equal to ninety-five percent (95%) of the amount
 19    awarded to the plaintiff.
 20        (2)  The provisions of subsection (1) of this section shall also apply  to
 21    any counterclaims, cross-claims or third party claims which may be filed after
 22    the  initiation  of  the  original  action. Except that a ten (10) day written
 23    demand letter shall not be required in the case of a counterclaim.
 24        (3)  In any civil action to recover on an open  account,  account  stated,
 25    note,  bill, negotiable instrument, guaranty, or contract relating to the pur-
 26    chase or sale of goods, wares, merchandise, or services and in any  commercial
 27    transaction  unless  otherwise  provided by law, the prevailing party shall be
 28    allowed a reasonable attorney's fee to be set by the court, to  be  taxed  and
 29    collected as costs.
 30        The  term  "commercial  transaction"  is  defined to mean all transactions
 31    except transactions for personal or household purposes. The  term  "party"  is
 32    defined  to  mean  any  person, partnership, corporation, association, private
 33    organization, the state of Idaho or political subdivision thereof.
 34        (4)  In actions for personal injury, where the amount of plaintiff's claim
 35    for damages does not exceed twenty-five  fifty  thousand  dollars  ($250,000),
 36    there  shall be taxed and allowed to the claimant, as part of the costs of the
 37    action, a reasonable amount to be fixed by the court as attorney's  fees.  For
 38    the plaintiff to be awarded attorney's fees for the prosecution of the action,
 39    written  demand  for  payment  of the claim and a statement of claim must have
 40    been served on the defendant's insurer, if known, or  if  there  is  no  known
 41    insurer,  then on the defendant, not less than sixty (60) days before the com-
 42    mencement of the action; provided that no attorney's fees shall be allowed  to
 43    the plaintiff if the court finds that the defendant tendered to the plaintiff,
                                                                        
                                       2
                                                                        
  1    prior  to  the  commencement of the action, an amount at least equal to ninety
  2    percent (90%) of the amount awarded to the plaintiff.
  3        The term "statement of claim" shall mean a written statement signed by the
  4    plaintiff's attorney, or if no attorney, by the plaintiff which includes:
  5        (a)  An itemized statement of each and every item of damage claimed by the
  6        plaintiff including the amount claimed for general damages and the follow-
  7        ing items of  special damages: (i) medical bills incurred up to  the  date
  8        of  the  plaintiff's  demand; (ii) a good faith estimate of future medical
  9        bills; (iii) lost income incurred  up  to  the  date  of  the  plaintiff's
 10        demand; (iv) a good faith estimate of future loss of income; and (v) prop-
 11        erty damage for which the plaintiff has not been paid.
 12        (b)  Legible  copies of all medical records, bills and other documentation
 13        pertinent to the plaintiff's alleged damages.
 14        If the plaintiff includes in the complaint filed to commence  the  action,
 15    or  in  evidence offered at trial, a different alleged injury or a significant
 16    new item of damage not set forth in the  statement  of  claim,  the  plaintiff
 17    shall  be  deemed to have waived any entitlement to attorney's fees under this
 18    section.
 19        (5)  In all instances where a party is entitled to  reasonable  attorney's
 20    fees  and  costs  under  subsection (1), (2), (3) or (4) of this section, such
 21    party shall also be entitled to reasonable postjudgment  attorney's  fees  and
 22    costs  incurred in attempting to collect on the judgment. Such attorney's fees
 23    and costs shall be set by the court following the filing of  a  memorandum  of
 24    attorney's fees and costs with notice to all parties and hearing.
 25        (6)  In  any  small  claims case resulting in entry of a money judgment or
 26    judgment for recovery of specific property, the party in whose favor the judg-
 27    ment is entered shall be entitled to reasonable postjudgment  attorney's  fees
 28    and  costs  incurred in attempting to collect on the judgment. Such attorney's
 29    fees and costs shall be set by the court following the filing of a  memorandum
 30    of attorney's fees and costs with notice to all parties and an opportunity for
 31    hearing.  The  amount of such attorney's fees shall be determined by the court
 32    after consideration of the factors set out in rule 54(e)(3) of the Idaho rules
 33    of civil procedure, or any future rule that the supreme court of the state  of
 34    Idaho  may  promulgate, but the court shall not base its determination of such
 35    fees upon any contingent fees arrangement between attorney and client, or  any
 36    arrangement  setting  such  fees as a percentage of the judgment or the amount
 37    recovered. In no event shall postjudgment attorney's fees exceed the principal
 38    amount of the judgment or value of property recovered.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE

                             RS 16633

This legislation seeks to increase the amount pleaded or claimed
for purposes of allowed costs.  If enacted, this expeditious and
less expensive alternative to typical litigation would benefit a
greater percentage of citizens and assist the management of court
resources.  The amendments are supported by Consumer Price Index
adjustments.


                           FISCAL NOTE

     There is no negative impact to the state General Fund.




Contact
Name: Senator Tim Corder 
Phone: 332-1336


STATEMENT OF PURPOSE/FISCAL NOTE                        S 1154