New Jersey Legislation recently introduced the “Personal Injury Trust Fund Transparency Act” (“Act”). Some may argue the Act is a much-needed transparency in mass tort litigation while others will charge the Act will expose tort victim’s vital information needlessly, and shifts the burden from solvent defendants to tort claimants. The proponents urge that tort claimants are double dipping by collecting from trust funds from insolvent defendants and from solvent defendants. Plaintiff assert that Act will result in collateral litigation that will further the harm and costs to plaintiff.
The proposed legislation places onerous on the plaintiff and counsel, to provide the court with a sworn statement indicating that an investigation of all personal injury trust claims has been conducted and that all personal injury trust claims can be made on the plaintiff’s behalf. The statement must be filed within 30 days after a personal injury claim is filed in New Jersey.
Under the bill, the plaintiff’s claimed injury is eligible from payment from a personal injury trust, before the taking of any deposition. Sworn statements are given and signed by the plaintiff and plaintiff’s counsel indicating that an investigation of all personal injury trust claims has been conducted and certain trust claims materials have been provided. If the plaintiff fails to comply with the Act’s notification requirements, the court may dismiss the personal injury action.
Despo Law Firm concentrates on business matters and litigation. This information does not represent legal advice, and you should consult counsel concerning the impact the proposed Act may have on you. You may contact William Despo about the Act and other business law matters.
Despo Law Group
36 Bingham Avenue
Rumson, NJ 07760