SENATE JUDICIARY COMMITTEE SUBSTITUTE FOR

SENATE BILL 324

50th legislature - STATE OF NEW MEXICO - second session, 2012

AN ACT

RELATING TO THE PUBLIC PEACE, HEALTH, SAFETY AND WELFARE; PROVIDING THAT A CIVIL ACTION MAY BE BROUGHT WITHIN THIRTY YEARS IN CASES OF CATASTROPHIC INJURY OR DEATH; REMOVING MAXIMUM LIABILITY PROVISIONS UNDER THE TORT CLAIMS ACT.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 37-1-8 NMSA 1978 (being Laws 1880, Chapter 5, Section 5, as amended) is amended to read:

     "37-1-8. ACTIONS AGAINST SURETIES ON FIDUCIARY BONDS--INJURIES TO PERSON OR REPUTATION--CATASTROPHIC INJURIES.--

          A. Actions [must] shall be brought against sureties on official bonds and on bonds of guardians, conservators, personal representatives and persons acting in a fiduciary capacity within two years after the liability of the principal or the person for whom they are sureties is finally established or determined by a judgment or decree of the court [and].

          B. For an injury to the person or reputation of [any] a person, an action shall be brought within three years; provided that when there is catastrophic injury or death to the person, an action shall be brought within thirty years.

          C. As used in this section, "catastrophic injury" means an injury to the person that creates a high probability of death, that causes serious disfigurement or that results in permanent or protracted loss or impairment of the function of any member or organ of the body."

     SECTION 2. Section 41-4-19 NMSA 1978 (being Laws 1976, Chapter 58, Section 17, as amended) is amended to read:

     "41-4-19. [MAXIMUM LIABILITY] INTEREST ON JUDGMENT--NO PUNITIVE DAMAGES.--

          [A. Unless limited by Subsection B of this section, in any action for damages against a governmental entity or a public employee while acting within the scope of the employee's duties as provided in the Tort Claims Act, the liability shall not exceed:

                (1) the sum of two hundred thousand dollars ($200,000) for each legally described real property for damage to or destruction of that legally described real property arising out of a single occurrence;

                (2) the sum of three hundred thousand dollars ($300,000) for all past and future medical and medically related expenses arising out of a single occurrence; and

                (3) the sum of four hundred thousand dollars ($400,000) to any person for any number of claims arising out of a single occurrence for all damages other than real property damage and medical and medically related expenses as permitted under the Tort Claims Act.

          B. The total liability for all claims pursuant to Paragraphs (1) and (3) of Subsection A of this section that arise out of a single occurrence shall not exceed seven hundred fifty thousand dollars ($750,000).

          C.] A. Interest shall be allowed on judgments against a governmental entity or public employee for a tort for which immunity has been waived under the Tort Claims Act at a rate equal to two percentage points above the prime rate as published in the Wall Street Journal on the date of the entry of the judgment. Interest shall be computed daily from the date of the entry of the judgment until the date of payment.

          [D.] B. No judgment against a governmental entity or public employee for any tort for which immunity has been waived under the Tort Claims Act shall include an award for exemplary or punitive damages or for interest prior to judgment."

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