By Christian                                          H.B. No. 1424
         77R2364 DAK-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to medical care liability claims.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. The Medical Liability and Insurance Improvement
 1-5     Act of Texas (Article 4590i, Vernon's Texas Civil Statutes) is
 1-6     amended by adding Subchapter H to read as follows:
 1-7               SUBCHAPTER H.  MEDICAL MALPRACTICE REVIEW PANEL
 1-8           Sec. 8.01.  DEFINITIONS. In this subchapter:
 1-9                 (1)  "Claimant" means a person who files a pleading
1-10     asserting a medical care liability claim.
1-11                 (2)  "Defendant" means a physician against whom a
1-12     medical care liability claim is asserted.  The term includes a
1-13     third-party defendant, cross-defendant, or counterdefendant.
1-14                 (3)  "Medical care liability claim" means a health care
1-15     liability claim against a physician.
1-16                 (4)  "Review panel" means a panel formed to hold a
1-17     hearing and review a medical care liability claim under this
1-18     subchapter.
1-19           Sec. 8.02.  REVIEW BY PANEL MANDATORY TO AVOID DISMISSAL. A
1-20     court shall dismiss without prejudice a medical care liability
1-21     claim filed with the court that has not been subject to a hearing
1-22     by a review panel in the time provided by Section 8.04 of this Act.
1-23           Sec. 8.03.  COMPOSITION OF REVIEW PANEL. (a)  The review
1-24     panel consists of one attorney and three health care providers.
 2-1           (b)  The parties shall select the attorney on the review
 2-2     panel.  If the parties cannot agree on an attorney, the parties
 2-3     shall obtain a list of five attorneys from the clerk of the supreme
 2-4     court.  The clerk shall prepare the list by randomly selecting the
 2-5     names of five attorneys from among all attorneys in the county in
 2-6     which the claim is brought.  The claimant and the defendant shall
 2-7     each strike two names from the list.  The attorney who remains
 2-8     becomes the attorney on the review panel.
 2-9           (c)  The parties shall each choose a health care provider to
2-10     become a member of the review panel.  The two chosen health care
2-11     providers shall choose the third health care provider to become a
2-12     member of the review panel.  If the two health care providers
2-13     cannot agree on a third health care provider, the attorney on the
2-14     review panel shall choose the third health care provider.
2-15           (d)  The attorney on the review panel acts as the presiding
2-16     officer.
2-17           Sec. 8.04.  HEARING BY REVIEW PANEL. (a)  The review panel
2-18     shall hold a hearing to review the facts of the medical care
2-19     liability claim to determine whether the claim asserts a legitimate
2-20     cause of action for medical malpractice.
2-21           (b)  The review panel must hold the hearing on or before the
2-22     30th day after the date that the claim is filed.
2-23           (c)  The review panel may subpoena witnesses, including
2-24     medical experts, to assist it in making its determination.
2-25           Sec. 8.05.  RULING. (a)  The review panel shall issue a
2-26     ruling as to whether the medical care liability claim asserts a
2-27     legitimate cause of action for medical malpractice.
 3-1           (b)  If the review panel does not issue a ruling on or before
 3-2     the 30th day before the date the trial begins, the court may not
 3-3     admit into evidence any ruling or findings from the hearing held by
 3-4     the review panel.
 3-5           (c)  Any party may proceed to trial without regard to the
 3-6     ruling of the review panel or to the failure of the review panel to
 3-7     issue a ruling.
 3-8           Sec. 8.06.  AFFIRMATIVE RULING; SETTLEMENT CONFERENCE. (a) If
 3-9     the review panel issues a ruling that the medical care liability
3-10     claim asserts a legitimate cause of action for medical malpractice,
3-11     the parties must attend a settlement conference.
3-12           (b)  The settlement conference must be conducted by a judge
3-13     who is not directly involved in the claim.
3-14           (c)  The settlement conference must result in a proposed
3-15     settlement amount on or before the 10th day before the date the
3-16     trial begins for Section 8.07 of this Act to apply.
3-17           Sec. 8.07.  REJECTION OF SETTLEMENT:  LIABILITY FOR COSTS AND
3-18     ATTORNEY'S FEES. (a)  A defendant who rejects a proposed settlement
3-19     amount that meets the requirements of Section 8.06 of this Act and
3-20     is found liable for damages in an amount that is greater than the
3-21     settlement amount is liable for claimant's costs and reasonable
3-22     attorney's fees incurred in bringing the claim.
3-23           (b)  A claimant who rejects the proposed settlement amount
3-24     and is awarded an amount for damages that is less than the
3-25     settlement amount is liable for defendant's costs and reasonable
3-26     attorney's fees incurred in defending the claim.
3-27           Sec. 8.08.  NEGATIVE RULING; LIABILITY FOR COSTS AND
 4-1     ATTORNEY'S FEES. If the review panel issues a ruling that the
 4-2     medical care liability claim does not assert a legitimate cause of
 4-3     action for medical malpractice and the claim is dismissed or does
 4-4     not result in a judgment against the defendant, the claimant is
 4-5     liable for defendant's costs and reasonable attorney's fees
 4-6     incurred in defending the claim.
 4-7           Sec. 8.09.  FILING FEE. (a)  A claimant who files a medical
 4-8     care liability claim must pay a fee of $600 on filing.
 4-9           (b)  The fee is in addition to any other fees that may apply
4-10     under any other law.
4-11           Sec. 8.10.  TOLLING OF STATUTE OF LIMITATIONS. The statute of
4-12     limitations under Section 10.01 of this Act is tolled from the date
4-13     the claim is filed until the earlier of:
4-14                 (1)  the date the review panel holds a hearing under
4-15     Section 8.04 of this Act; or
4-16                 (2)  the 31st day after the date the claim is filed.
4-17           Sec. 8.11.  OTHER PROVISIONS NOT AFFECTED. The requirements
4-18     of this subchapter do not affect any other requirements of this Act
4-19     that may apply to a medical care liability claim, including:
4-20                 (1)  notice under Subchapter D of this Act;
4-21                 (2)  review by the Texas Medical Disclosure Panel under
4-22     Subchapter F of this Act;
4-23                 (3)  procedural provisions under Subchapter M of this
4-24     Act; and
4-25                 (4)  qualification of expert witnesses under Subchapter
4-26     N of this Act.
4-27           SECTION 2. Section 10.01, Medical Liability and Insurance
 5-1     Improvement Act of Texas (Article 4590i, Vernon's Texas Civil
 5-2     Statutes), is amended to read as follows:
 5-3           Sec. 10.01. Notwithstanding any other law, no health care
 5-4     liability claim may be commenced unless the action is filed within
 5-5     two years from the occurrence of the breach or tort or from the
 5-6     date the medical or health care treatment that is the subject of
 5-7     the claim or the hospitalization for which the claim is made is
 5-8     completed unless that period is extended by the tolling provision
 5-9     of Section 8.10 of this Act;  provided that, minors under the age
5-10     of 12 years shall have until their 14th birthday in which to file,
5-11     or have filed on their behalf, the claim.  Except as herein
5-12     provided, this subchapter applies to all persons regardless of
5-13     minority or other legal disability.
5-14           SECTION 3. Subchapter A, Chapter 22, Government Code, is
5-15     amended by adding Section 22.017 to read as follows:
5-16           Sec. 22.017.  LISTS OF ATTORNEYS FOR REVIEW PANELS. The
5-17     supreme court shall require its clerk to prepare and distribute
5-18     lists of attorneys for review panels of medical care liability
5-19     claims under Section 8.03(b), Medical Liability and Insurance
5-20     Improvement Act of Texas (Article 4590i, Vernon's Texas Civil
5-21     Statutes).
5-22           SECTION 4. This Act takes effect September 1, 2001, and
5-23     applies only to a cause of action that accrues on or after that
5-24     date.  An action that accrued before the effective date of this Act
5-25     is governed by the law applicable to the action immediately before
5-26     the effective date of this Act, and that law is continued in effect
5-27     for that purpose.