General Aviation Accident Liability Standards Act of 1989 - Declares that this Act supersedes any State law regarding liability for general aviation accidents. Establishes guidelines for uniform standards of liability of general aviation manufacturers for general aviation accidents.
States that all actions for harm arising out of a general aviation accident shall be governed by the principles of comparative responsibility.
Establishes, with specified exceptions, a limitation of actions period of 20 years from delivery of aircraft or harm-causing part to the purchaser for general aviation civil liability brought against a general aviation manufacturer. Declares admissible as evidence certain income tax and payroll tax liability for purposes of establishing financial harm arising out of a general aviation accident. Permits the award of punitive damages if a claimant establishes by clear and convincing evidence that the harm suffered was the direct result of conduct manifesting conscious, flagrant indifference to safety. Establishes a two-year limitation of actions period for actions arising out of a general aviation accident.
Declares the intent of the Congress that sanctions be strictly enforced for violations of Rule 11 of the Federal Rules of Civil Procedure, including orders to pay to the other party the reasonable costs of legal fees.
Confers original jurisdiction upon the Federal district courts, concurrently with State courts, for all civil actions for harm arising out of a general aviation accident. Provides procedures for removal from State to Federal district courts of such actions.
Calendar No. 503 101st CONGRESS 2d Session S. 640 [Report No. 101-223] A BILL To regulate interstate commerce by providing for uniform standards of liability for harm arising out of general aviation accidents. April 5 (legislative day, JANUARY 23), 1990 Reported, without amendment, unfavorably S 640 RS Calendar No. 503 101st CONGRESS 2d Session S. 640 [Report No. 101-223] To regulate interstate commerce by providing for uniform standards of liability for harm arising out of general aviation accidents. IN THE SENATE OF THE UNITED STATES March 16 (legislative day, JANUARY 3), 1989 Mrs. KASSEBAUM (for herself, Mr. BOND, Mr. CHAFEE, Mr. DANFORTH, Mr. DOLE, Mr. EXON, Mr. FORD, Mr. GARN, Mr. HATCH, Mr. HEINZ, Mr. HUMPHREY, Mr. INOUYE, Mr. KASTEN, Mr. KERRY, Mr. LOTT, Mr. MCCAIN, Mr. PELL, Mr. PRESSLER, Mr. RUDMAN, Mr. SYMMS, Mr. WALLOP, Mr. WILSON, Mr. SIMPSON, Mr. COATS, Mr. BOSCHWITZ, Mr. BURNS, Mr. MCCLURE, Mr. SPECTER, Mr. GRASSLEY, Mr. GORTON, and Mr. MURKOWSKI) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation November 21 (legislative day, NOVEMBER 6), 1989 Reported by Mr. HOLLINGS, without amendment February 6 (legislative day, JANUARY 23), 1990 Ordered; referred to the Committee on the Judiciary for a period not to extend beyond April 5, 1990 April 5 (legislative day, JANUARY 23), 1990 Reported by Mr. BIDEN, without amendment, unfavorably A BILL To regulate interstate commerce by providing for uniform standards of liability for harm arising out of general aviation accidents. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the `General Aviation Accident Liability Standards Act of 1989'. FINDINGS AND PURPOSE SEC. 2. (a) The Congress finds that-- (1) transportation by air of passengers continues to comprise an increasingly important component of the Nation's overall transportation system; (2) although the incidence of injuries to passengers in general aviation accidents has decreased, the number of general aviation accident liability claims against general aviation aircraft manufacturers and the amount of damages sought in such claims is increasing at disproportionate rates, beyond any relationship to the quality of the aircraft manufactured and in use; (3) the current system for determining liability and damages for compensating individuals injured in general aviation accidents is inadequate; (4) competent general aviation manufacturers and component part manufacturers are ceasing or limiting production of general aviation aircraft or some models of such aircraft because of the increasing costs and unavailability of product liability insurance; (5) the increase in the number of liability claims and the size of awards and settlements, and the excessive time and expense devoted to the resolution of such claims, impose a substantial economic burden on general aviation manufacturers and their dealers; (6) the Federal Government has an interest in the general aviation accident liability system because the Federal Government has established a comprehensive system for regulating general aviation, including-- (A) establishing standards for design, construction, and certification of general aviation aircraft, (B) establishing standards for maintenance of aircraft, licensing of repair facilities, and licensing of persons who may perform or approve maintenance, repairs, and inspections, (C) establishing standards for training and licensing of pilots, (D) establishing a comprehensive air control system, (E) conducting investigations to determine the probable cause of aviation accidents and prevent future accidents, and (F) conducting other activities necessary to assure a safe air transportation system; and this Federal system is the exclusive legal authority for regulating aviation operations and safety; (7) it is in the national interest to reduce unnecessary expenditures related to general aviation accident liability claims while providing more rapid and more efficient compensation for individuals harmed in general aviation accidents; and (8) Federal action to reform the general aviation accident liability system will result in-- (A) the maintenance of airworthy general aviation aircraft; and (B) a more rational general aviation accident liability system. (b) It is the purpose of this Act to establish standards for determining liability for harm arising out of general aviation accidents. DEFINITIONS SEC. 3. As used in this Act, the term-- (1) `Administrator' means the Administrator of the Federal Aviation Administration; (2) `claimant' means any person who brings a general aviation accident liability action subject to this Act, and any person on whose behalf such an action is brought, including-- (A) the claimant's decedent; and (B) the claimant's parent or guardian, if the action is brought through or on behalf of a minor or incompetent; (3) `general aviation accident' means any accident which arises out of the operation of any general aviation aircraft and which results in harm; (4) `general aviation aircraft' means any aircraft for which a type certificate or an airworthiness certificate has been issued by the Administrator under the Federal Aviation Act of 1958 (49 App. U.S.C. 1301 et seq.) which, at the time such certificate was originally issued, had a maximum seating capacity of fewer than twenty passengers, and which is not, at the time of the accident, engaged in scheduled passenger carrying operations as defined in regulations issued under the Federal Aviation Act of 1958 (49 App. U.S.C. 1301 et seq.); (5) `general aviation manufacturer' means-- (A) the builder or manufacturer of the airframe of a general aviation aircraft; (B) the manufacturer of the engine of a general aviation aircraft; and (C) the manufacturer of any system, component, subassembly, or other part of a general aviation aircraft; (6) `harm' means-- (A) property damage or bodily injury sustained by a person; (B) death resulting from such bodily injury; (C) pain and suffering which is caused by such bodily injury; and (D) emotional harm (including bereavement and loss of affection, care, or society) which is caused by such bodily injury; (7) `product' means a general aviation aircraft and any system, component, subassembly, or other part of a general aviation aircraft; and (8) `property damage' means physical injury to tangible property, including loss of use of tangible property. PREEMPTION; APPLICABILITY SEC. 4. (a) This Act supersedes any State law regarding recovery, under any legal theory, for harm arising out of a general aviation accident, to the extent that this Act establishes a rule of law or procedure applicable to the claim. (b) Nothing in this Act shall be construed to supersede or to waive or affect any defense of sovereign immunity asserted by the United States or any State. (c) Nothing in this Act shall be construed to affect the liability of a manufacturer, owner, or operator of any aircraft that is not a general aviation aircraft, or a person who repairs, maintains, or provides any other support for any aircraft that is not a general aviation aircraft, for damages for harm arising out of the operation of an aircraft that is not a general aviation aircraft. (d) No right of action for harm exists under this Act if that right would be inconsistent with the provisions of any applicable workers' compensation law. (e) The provisions of this Act shall apply only to-- (1) any manufacturer, owner, or operator of any general aviation aircraft, and any person who repairs, maintains, or provides any other support for such an aircraft; (2) any occupant of a general aviation aircraft at the time of a general aviation accident, and any person who brings an action for harm caused by such accident on behalf of such occupant; and (3) any nonoccupant of a general aviation aircraft at the time of a general aviation accident, only if such nonoccupant is bringing an action for harm caused by such accident which arises out of the harm to an occupant of such aircraft at the time of such accident. UNIFORM STANDARDS OF LIABILITY FOR GENERAL AVIATION ACCIDENTS SEC. 5. (a) Any person claiming damages for harm arising out of a general aviation accident may bring an action against a party and may recover damages from such party, if such party was negligent and such negligence is a proximate cause of the claimant's harm. (b)(1) Any person claiming damages for harm arising out of a general aviation accident may bring an action against a general aviation manufacturer of a product and may recover damages from such general aviation manufacturer if-- (A) the product, when it left the control of the manufacturer, was in a defective condition unreasonably dangerous for its intended purpose, according to engineering and manufacturing practices which were reasonably feasible; (B) the defective condition is a proximate cause of the claimant's harm; and (C) the general aviation aircraft was being used at the time of the accident for a purpose and in a manner for which it was designed and manufactured. (2) Any person claiming damages for harm arising out of a general aviation accident may bring an action against a general aviation manufacturer of a product and may recover damages from such general aviation manufacturer if-- (A) at the time the product left the control of the manufacturer, the manufacturer-- (i) knew, or in the exercise of reasonable care should have known, about a danger connected with the product that caused the claimant's harm; and (ii) failed to provide the warnings or instructions that a person exercising reasonable care would have provided with respect to the danger which caused the harm alleged by the claimant, unless such warnings or instructions, if provided, would not have materially affected the conduct of the user of the product; or (B) after the product left the control of the general aviation manufacturer, the manufacturer-- (i) knew, or in the exercise of reasonable care should have known, about the danger which caused the claimant's harm; and (ii) failed to take reasonable steps to provide warnings or instructions, after the manufacture of the product, which would have been provided by a person exercising reasonable care, unless such warnings or instructions, if provided, would not have materially affected the conduct of the product user; and the failure to provide warnings or instructions described in subparagraph (A) or (B) of this paragraph is a proximate cause of the claimant's harm. (3) Any person claiming damages for harm arising out of general aviation accident may bring an action against a general aviation manufacturer of a product and may recover damages from such general aviation manufacturer if-- (A) the manufacturer made an express warranty with respect to the product; (B) such warranty relates to that aspect of the product which caused the harm; (C) the product failed to conform to such warranty; and (D) the failure of the product to conform to such warranty is a proximate cause of the claimant's harm. (c)(1) In an action governed by subsection (b) of this section, a general aviation manufacturer shall not be liable if such manufacturer proves, by a preponderance of the evidence, that-- (A) the defective condition could have been corrected by compliance with action described in an airworthiness directive issued by the Administrator or a service bulletin issued by the manufacturer of the product; and (B) such directive or service bulletin was issued at a reasonable time before the date of the accident and after the product left the control of the general aviation manufacturer. (2) In any action governed by subsection (b) of this section, evidence of compliance with standards, conditions or specifications established, adopted or approved by the Federal Aviation Administration shall be admissible with regard to whether the product was defective and unreasonably dangerous for its intended purpose. COMPARATIVE RESPONSIBILITY SEC. 6. (a) All actions for harm arising out of a general aviation accident shall be governed by the principles of comparative responsibility. Comparative responsibility attributed to the claimant's conduct shall not bar recovery in an action under this Act, but shall reduce any damages awarded to the claimant in an amount proportionate to the responsibility of the claimant. The trier of fact shall determine comparative responsibility by making findings indicating the percentage of total responsibility for the claimant's harm attributable to the claimant, each defendant, each third-party defendant, and any other person not a party to the action. (b) Except as provided in subsection (c) of this section, a defendant is severally but not jointly liable in any action for harm arising out of a general aviation accident, and the liability of any defendant in any such action shall be determined on the basis of such defendant's proportionate share of responsibility for the claimant's harm. (c) In any action for harm arising out of a general aviation accident-- (1) a general aviation manufacturer who is the builder or manufacturer of the airframe of the general aviation aircraft involved is jointly and severally liable for harm caused by a defective system, component, subassembly, or other part of such aircraft that the manufacturer installed or certified as part of the original type design for such aircraft; and (2) a general aviation manufacturer who is the manufacturer of a system or component of the general aviation aircraft involved is jointly and severally liable for damages caused by a defective subassembly or other part of such system or component. (d) A general aviation manufacturer and any other person jointly liable under subsection (c) of this section shall have the right to bring an action for indemnity or contribution against any person with whom they are jointly liable under subsection (c) of this section. TIME LIMITATION ON LIABILITY SEC. 7. (a) Except as provided in subsection (b) of this section, no civil action for harm arising out of a general aviation accident which is brought against a general aviation manufacturer may be brought for harm which is alleged to have been caused by an aircraft or a system, component, subassembly, or other part of an aircraft and which occurs more than-- (1) twenty years from-- (A) the date of delivery of the aircraft to its first purchaser or lessee, if delivered directly from the manufacturer; or (B) the date of first delivery of the aircraft to a person engaged in the business of selling or leasing such an aircraft; or (2) with respect to any system, component, subassembly, or other part which replaced another product in, or which was added to, the aircraft, and which is alleged to have caused the claimant's harm, twenty years from the date of the replacement or addition. (b) Subsection (a) of this section does not apply in the case of harm to a claimant which occurs after the period set forth in subsection (a) of this section if the general aviation manufacturer or the seller of the product that caused the claimant's harm gave an express warranty that the product would be suitable, for the purpose for which it was intended, for a longer period of time. (c) Nothing in this section shall be construed to affect a person's duty to provide, after the sale or lease of an aircraft, to aircraft owners, and to repair facilities to which a license or certificate to perform repairs has been issued by the Administrator, additional or modified warnings or instructions regarding the use or maintenance of such aircraft or any system, component, or other part of such aircraft. SUBSEQUENT REMEDIAL MEASURES SEC. 8. In any general aviation accident liability action governed by this Act, evidence of any measure taken after an event which, if taken previously, would have made the event less likely to occur is not admissible to provide liability. Such evidence is admissible to the extent permitted under rule 407 of the Federal Rules of Evidence. ADMISSIBILITY OF CERTAIN EVIDENCE SEC. 9. In an action governed by this Act, evidence of Federal, State, or local income tax liability or any Social Security or other payroll tax liability attributable to past or future earnings, support, or profits and the present value of future earnings, support, or profits alleged to have been lost or diminished because of harm arising out of a general aviation accident is admissible regarding proof of the claimant's harm. PUNITIVE DAMAGES SEC. 10. (a) Punitive damages may be awarded in an action under this Act for harm arising out of a general aviation accident only if the claimant establishes by clear and convincing evidence that the harm suffered was the direct result of conduct manifesting a conscious, flagrant indifference to the safety of those persons who might be harmed by use of the general aviation aircraft involved. (b) Evidence regarding the financial worth of a defendant or the defendant's profits or any other evidence relating solely to a claim for punitive damages under this Act is not admissible unless the claimant establishes, before any such evidence is offered, that the claimant can present evidence that will establish prima facie proof of conduct manifesting a conscious, flagrant indifference to the safety of those persons who might be harmed by use of the general aviation aircraft involved. (c) In any civil action in which the alleged harm to the claimant is death and the applicable State law provides, or has been construed to provide, for damages only punitive in nature, a defendant may be liable for any such damages pursuant to the provisions of this Act regardless of whether a claim is asserted under this section. The recovery of any such damages shall not bar a claim under this section. TIME LIMITATION ON BRINGING ACTIONS SEC. 11. (a) Any action for harm arising out of a general aviation accident shall be barred, notwithstanding any State law, unless-- (1) the complaint is filed within two years after the date on which the accident occurred which caused the claimant's harm; and (2) the summons and complaint are properly served upon the defendant within one hundred and twenty days after the filing of such complaint, unless the party on whose behalf such service is required can show good cause why such service was not made within such one-hundred-and-twenty-day period. Paragraph (2) of this subsection shall not apply to service of process in a foreign country pursuant to rule 4(i) of the Federal Rules of Civil Procedure or any similar State law. SANCTIONS SEC. 12. It is the intent of Congress that, with respect to any action governed by this Act, the sanctions for violation of rule 11 of the Federal Rules of Civil Procedure, including orders to pay to the other party or parties the amount of their reasonable expenses, including a reasonable attorney's fee, be strictly enforced. JURISDICTION SEC. 13. (a) The district courts of the United States, concurrently with the State courts, shall have original jurisdiction, without regard to the amount in controversy, in all civil actions for harm arising out of a general aviation accident and in all actions for indemnity or contribution described in section 6(d) of this Act. (b) A civil action which is brought in a State court may be removed to the district court of the United States for the district embracing the place where the action is pending, without the consent of any other party and without regard to the amount in controversy, by any defendant against whom a claim in such action is asserted for harm arising out of a general aviation accident. (c) In any case commenced in or removed to a district court of the United States under subsection (a) or (b) of this section, the court shall have jurisdiction to determine all claims under State law that arise out of the same general aviation accident, if a substantial question of fact is common to the claims under State law and to the Federal claim, defense, or counterclaim. (d)(1) A civil action in which the district courts of the United States have jurisdiction under subsection (a) of this section may be brought only in a district in which-- (A) the accident giving rise to the claim occurred; or (B) any plaintiff or defendant resides. (2) In an action pending in a district court of the United States under paragraph (1) of this subsection, a district court may, on motion of any party or its own motion, transfer the action to any other district for the convenience of parties and witnesses in the interest of justice. (3) For purposes of this subsection, a corporation shall be considered to be a resident of any State in which it is incorporated or licensed to do business or is doing business. SEVERABILITY SEC. 14. If any provision of this Act or the application of the provision to any person or circumstance is held invalid, the remainder of this Act and the application of the provision to any other person or circumstance shall not be affected by such invalidation. EFFECTIVE DATE SEC. 15. (a) This Act shall apply to any civil action for harm arising out of a general aviation accident which is filed on or after the date of enactment of this Act. (b) If an action governed by this Act is filed within one hundred and eighty days after the date of enactment of this Act, liberal leave shall be given to a party to amend any pleading, motion, statement of jurisdiction or venue, or other matter to conform to the provisions of this Act. S 640 RS----2
Introduced in Senate
Read twice and referred to the Committee on Commerce.
Subcommittee on Aviation. Hearings held. Hearings printed: S.Hrg. 101-255.
Committee on Commerce. Ordered to be reported without amendment favorably.
Committee on Commerce. Reported to Senate by Senator Hollings without amendment. With written report No. 101-223. Minority views filed.
Committee on Commerce. Reported to Senate by Senator Hollings without amendment. With written report No. 101-223. Minority views filed.
Placed on Senate Legislative Calendar under General Orders. Calendar No. 416.
Referred to the Committee on Judiciary by unanimous consent for a period not to extend beyond April 5, 1990.
Committee on Judiciary. Hearings held. Hearings printed: S.Hrg. 101-1144.
Committee on Judiciary. Reported to Senate by Senator Biden unfavorably without amendment. Without written report.
Committee on Judiciary. Reported to Senate by Senator Biden unfavorably without amendment. Without written report.
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Placed on Senate Legislative Calendar under General Orders. Calendar No. 503.
Committee on Judiciary. Ordered to be reported without amendment unfavorably.
By Senator Biden from Committee on Judiciary filed written report. Report No. 101-303. Additional and minority views filed.
By Senator Biden from Committee on Judiciary filed written report. Report No. 101-303. Additional and minority views filed.