February 6, 2004

HB 1258 , “Georgia Minimum Wage Law” sponsored by Earl Ehrhart, 28th and Charles Bannister 70th would prohibit local governments (in this case, Atlanta) from adopting, maintaining, or enforcing through collective bargaining agreements or other means a minimum wage requirement above the federal wage. 

The city of Atlanta is considering an ordinance calling for an increase in the minimum wage to $10.50 an hour with medical benefits or $12 an hour without medical benefits. This would apply to city employees and minimum wage earners employed by all businesses that have contracts or sub-contractors with the city of Atlanta . 

GRA Position: Support

http://www.legis.state.ga.us/legis/2003_04/sum/hb1258.htm

Please contact your legislators asking for their support of this effort.

HB 1218, “Deceptive Or Unfair Practices For Inbound Call Centers” sponsored by Ron Borders, 142nd, Gerald Greene, 134th, Buddy Childers, 13th, Nick Moraitakis, 42nd, and Ellis Black, 144th, would require employees at an inbound call center to disclose the employee's name, the name of his or her employer, and the physical location of such employee, including the city, state and country.

The Georgia Retail Association and a large number of business-related groups were on hand to oppose this bill. The bill was assigned to a subcommittee and is not expected to be reported out of that subcommittee.

GRA Position: Oppose

http://www.legis.state.ga.us/legis/2003_04/sum/hb1218.htm

Your input on the following bill is needed by GRA

HB 1165 , “Consumer Rebates” sponsored by Amos Amerson, 9th, Sharon Cooper, 30th, Don Parsons, 29th, Stacey Reece, 21st, Ben Bridges, 7th would require the retailer to provide all items required for submission of a rebate to the consumer at the time of purchase and that all rebates be sent to the consumer within two weeks of receiving the required forms.

http://www.legis.state.ga.us/legis/2003_04/fulltext/hb1165.htm

SB 443 , “Gift Card Integrity Act” sponsored by David Adelman, 42nd and Mitch Seabaugh, 28th would prohibit the imposition of nonuse, handling, dormancy, or maintenance fee on gift cards and gift certificates issued by merchants or persons acting on behalf of merchants and would require that cash be given in exchange.

GRA Position: Oppose

http://www.legis.state.ga.us/legis/2003_04/sum/sb443.htm

Additional Tort Reform Efforts

Last week we reported that SB 532, dealing with tort reform, was stalled when reassigned to the Senate Judiciary Committee. At that point energies were re-focused on the House of Representatives. On Thursday, February 5, the House Judiciary Committee received comments from Butch Parrish, 102nd, Chair of the House Rules Committee, asking the committee to take bi-partisan action on tort reform. To my amazement, Tom Bordeaux, 125th, Chairman of the House Judiciary Committee, distributed a single copy of a number of bills asking Committee members to sign on as sponsors.

The Georgia Retail Association was there to see House Bills 1396 through 1402, which appear below, signed. Each, if enacted, would result in incremental civil justice reform.

Please ask your representative to support these bills.

A number of other bills have been filed which would also address civil Justice reform and they also appear below.

HB 1396 , “Emergency Room Physician Liability” sponsored by DuBose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would insulate hospitals from liability from the acts of emergency room physicians who act as independent contractors. The bill would also require such independent contractors to have liability insurance coverage in the amount of $1 million per individual claim and $3 million in aggregate.

HB 1397 , “Limiting Expert Witnesses” sponsored by DuBose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would address who could and could not be called as an expert witness in medical malpractice cases. The intent is to ensure that only qualified, licensed witnesses would be allowed to provide testimony and then only in areas where they have expertise.

HB 1398 , “Limiting Expert Witnesses” sponsored by sponsored by DuBose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, appears to be nearly identical to HR 1397 except for the setting the effective date if enacted.

HB 1399 , “Limiting Expert Witnesses” sponsored by Dubose Porter, 119th , Tom Bordeaux, 125th , Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would require discovery testimony to be from the witnesses as limited in either HR 1397 or HR 1398.

HB 1400 , “Frivolous Litigation Prevention Act” sponsored by DuBose Porter, 119th , Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would provide sanctions for parties filing frivolous civil actions to include payment of expenses of the defendants, including lawyer's fees.

HB 1401 , “Income Tax Credit for Rural Physicians” sponsored by DuBose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would provide an income tax credit of up to $25,000 toward payment of malpractice insurance for physicians practicing in rural areas of Georgia .

HB 1402 , “Filing of Malpractice Insurance Rates” sponsored by Dubose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would require companies issuing medical malpractice insurance to file rates with the Commissioner of Insurance in the same manner as rate filings are down for private automotive insurance.

In rate filings with increases of more than 10% public hearings would be needed to review the appropriateness of the rate increases.

HB 1403 , “Limiting the Holding of Loss Reserves” sponsored by DuBose Porter, 119th, Tom Bordeaux, 125th, Butch Parrish, 102nd, Jimmy Skipper, 116th, and Lester Jackson, 124th, would limit to 90 days the amount of time that an insurer could maintain excess loss reserves once a settlement had been reached.

HB 1339 , “Limiting Liability for Medical Malpractice” sponsored by Lynn Westmoreland, 86th, Mark Butler, 88th, Sue Burmeister, 96th, Tom Rice 64th, Judy Manning, 32nd, and Charles Bannister, 70th would limited liability for health care providers for treatment of certain emergency conditions under certain circumstances; to change certain provisions relating to damages.

HB 1256 , “Losing Plaintiff to Pay Attorney's Fees and Court Costs” sponsored by Lynn Westmoreland, 86th, Ron Dodson, 84th, Mickey Channell, 77th, James Mills, 67th, Post and Earl Ehrhart, 28th would provide that a plaintiff who loses at trial shall pay all court costs and attorney's fees; to provide for payment by the plaintiff's attorney of record if such plaintiff is unable to pay such court costs and attorney's fees; to provide that a subsequent reversal on appeal shall not affect the plaintiff's or the plaintiff's attorney's liability for costs and fees.

HB 1419 ,  “Emergency Room Liability Relief” sponsored by Pam Stephenson 60th, Jay Shaw 143rd,  Ed Rynders 137th, Larry O'Neal 117th and 16 others would eliminate the recovery of

non-economic damages when a patient comes to an emergency department seeking treatment for a medical condition, based on any alleged negligence occurring within the first 24 hours of treatment.

Retail Report

February 6, 2004

Page 4

HB 1420 , “ Modification of Expert Witness Testimony ” sponsored by Richard Royal, 140th, Mark Burkhalter, 36th, Mickey Channell, 77th, Ben Harbin, 80th, and 29 others would establish expert witness qualifications by requiring anyone who testifies to be licensed to practice in, and to actively practice or teach in, the same specialty or area as the defendant for at least three of the last five years.  The bill would implement the “Daubert Rule” to require evidence be based on scientific facts.

HB 1421 , “Eliminate Joint and Several Liability and Provide for Comparative Negligence” sponsored by Mickey Channell, 77th, Barry Fleming, 79th, Butch Parrish, 102nd, Jerry Keen 146th, and 27 others would eliminate joint and several liability so that a defendant is liable only for damages in proportion to his/her degree of fault.  The bill would provide that where a plaintiff is found to be 50% or more responsible for his/her own injury, the plaintiff may not recover any damages.

HB 1422 ,  “Limit on Pain and Suffering Awards” sponsors by Ron Dodson, 84th, Jerry Keen, 146th, Stan Watson, 60th, Charles Bannister, 70th and 33 other representatives would place a $250,000 limit on non-economic damages only  in medical malpractice cases.  Present and future economic damages would be fully recoverable at 100%.

Previously Reported Issues Still Needing Attention

House Bill 656 – This bill sponsored by Jill Chambers, 53rd, Earl Ehrhart, 28th, Mary Margaret Oliver, 56th, Jeanette Jameson , 2nd, and Nick Moraitakis, 42nd would require that credit reporting agencies write each Georgian each and every time an inquiry is made of their file by a business with whom the individual has no existing relationship.

The notice must include the name; address and telephone number of the credit grantor or business that inquires, which I suspect would generate significant calls to the consumer service centers.

The bill also permits the credit reporting agency to charge the credit grantor of inquiry for the costs of the notification. For large retailers, credit grantors, banks, cell phone store fronts, car dealers, etc., these cumulative costs could be significant. Postage and paper alone probably would, for some businesses, exceed the costs for the credit score or file!

GRA Position: Oppose

http://www.legis.state.ga.us/legis/2003_04/sum/hb656.htm

SB 432 , “Limiting Civil Liability” sponsored by Thomas Price, 56th, Eric Johnson, 1st, Mitch Seabaugh, 28th, Don Balfour, 9th, Don Thomas, 54th, and Ralph Hudgens, 47th.

GRA Position: Support

http://www.legis.state.ga.us/legis/2003_04/sum/sb432.htm

Sales Tax Holiday - HB 1184 – This bill should start moving during the week of February 8.

GRA Position: Support

http://www.legis.state.ga.us/legis/2003_04/sum/hb1184.htm

Sealed Settlement Agreements Threatened - HB 1019

A bill sponsored by Mary Margaret Oliver, 56th, Tom Bordeaux 125th and Nick Moraitakis,42nd would give judges in cases involving information "relevant to the protection of public health, welfare, or safety" the authority to deny the sealing of settlements even when both parties have agreed and contracted to seal the settlement.

It is important that you contact your representatives with your opposition to this bill.

GRA Position: Oppose

http://www.legis.state.ga.us/legis/2003_04/sum/hb1019.htm

House Bill 645 , sponsored by Stephanie Stuckey Benfield, 56th, Post 1, Earl Ehrhart, 28th, David Graves, 106th, Jill Chambers, 53rd, Nick Moraitakis, 42nd, Post 4, and others would increase from 6 to 14 percent the percentage of alcohol by volume allowed in beverages including ale, porter, brown, stout, lager beer, small beer, and strong beer and malt beverages.

Streamlined Sales Tax - Richard Royal, 140 th , Chairman of the House Ways and Means Committee told me this week that he has bi-partisan support for this legislation and expects it to pass.

Loans to Atlanta - Legislation authorizing a $500 million loan, distributed over 10 years, to Atlanta will surely pass. This loan will allow Atlanta to rebuild the sewer system Atlanta 's Mayors and City Councils have ignored for decades.

Local Option Sales Tax - Legislation allowing municipalities to impose a one-percent local option sales tax for court-mandated infrastructure improvements is also proposed. This proposal is targeted primarily at Atlanta which faces a court order that requires the city to replace its sewer and water infrastructure.

HB 1061 – “Setting Wholesale Prescription Prices “ sponsored by Ron Stephens, 123rd, Butch Parrish, 102nd, Bobby Parham, 94th, David Graves, 106th, Pat Gardner, 42nd Post 3 and Jeanette Jamieson, 22nd would create a board charged with developing a price schedule of maximum manufacturer prices for patented prescription drugs .

http://www.legis.state.ga.us/legis/2003_04/sum/hb1061.htm

On the National Scene

H.R. 339 , sponsored by Rep. Keller (R-Fl) would limit restaurant liability in obesity suits. The U.S. House Judiciary Committee passed a bill that would protect the restaurant industry from lawsuits stemming from obesity claims. The "Personal Responsibility in Food Consumption Act" now goes to the full House for a vote.

H.R. 1115 , the Class Action Fairness Act would move large, multi-state class action lawsuits from state to federal court and prevent abusive venue shopping by plaintiff lawyers. It passed the House last year, but failed by one vote to get the 60 required to avoid a filibuster. The Senate leadership believes they have picked up three more votes, which should lead to passage early this year.

Labor Department Free to Update Overtime Rules

The Senate kicked off its 2004 session this week by passing an omnibus federal spending bill that included no restrictions on the Labor Department's planned update of Fair Labor Standards Act “white collar” overtime rules, leaving the department free to issue final rules by spring.

The passage of the omnibus bill was a major victory for retailers and other supporters of the overtime update because an amendment blocking its implementation was opponents' main strategy over the past several months. The amendment, sponsored by Senator Tom Harkin, D-Iowa, passed the Senate last fall but was rejected in the House.

As recently as this week, several senators said they would oppose the omnibus unless it included the Harkin amendment. But their efforts went nowhere and the measure passed without the amendment. The measure had already passed the House and President Bush was expected to sign it as early as this afternoon.

Free of any restrictions, the Labor Department expects to issue the final regulations by the end of March.

I would appreciate receiving your comments at johnh@georgiaretail.org or by fax at 770-484-5727

Thank you.

John C. Heavener, MSM, CAE

President

Georgia Retail Association