HB 1925

1	A bill to be entitled
2	An act relating to class action lawsuits; creating s.
3	774.01, F.S.; providing legislative findings; providing
4	requirements for capacity to file a class action; limiting
5	actions to Florida residents; providing exceptions;
6	providing requirements for monetary relief; eliminating
7	private class action recovery of statutory penalties and
8	other forms of monetary relief other than actual damages;
9	providing monetary relief; providing for availability of
10	nonmonetary relief; creating s. 774.02, F.S.; requiring a
11	specified demand to cure notice prior to filing a class
12	action; providing for a cure period; providing for
13	inspection of goods or evidence relevant to a claim;
14	requiring that a plaintiff plead and prove specified
15	elements relating to the cure period; providing specified
16	defenses to a cause of action; providing an effective
17	date.
18
19	Be It Enacted by the Legislature of the State of Florida:
20
21	Section 1.  Section 774.01, Florida Statutes, is created to
22	read:
23	774.01  Capacity to sue.--
24	(1)  The Legislature finds that nationwide class action
25	lawsuits brought in Florida state courts can pose an
26	unreasonable burden, in certain circumstances, on the judicial
27	system at potentially great expense to Florida taxpayers with
28	minimal benefits for Florida residents. The Legislature further
29	finds that nationwide class action lawsuits brought in Florida
30	state courts can result in cases of nationwide importance not
31	being heard in the federal courts, can result in forum shopping
32	not based on the jurisdiction with the greatest connection to
33	the controversy, and can result in one state's imposing its view
34	of the law on other states and binding the rights of the
35	residents of those states.
36	(2)(a)  In any action asserting the right to class action
37	status, the claimant class with capacity to sue shall be limited
38	to residents of this state at the time of the alleged
39	misconduct, except as provided in paragraph (b).
40	(b)  Prior to issuance of the certification order, the
41	court may expand a class to include any nonresident whose claim
42	is recognized within the claimant's state of residence and is
43	not time barred, but whose rights cannot be asserted because the
44	claimant's state of residence lacks personal jurisdiction over
45	the defendant or defendants. In addition, the claimant class may
46	include nonresidents if the conduct giving rise to the claim
47	occurred in this state.
48	(3)  Notwithstanding any law to the contrary, in order to
49	maintain a class action seeking monetary relief, the class must
50	allege and prove actual damages. In any such class action, the
51	monetary recovery shall be limited to the amount of actual
52	damages. Nothing in this section shall be construed to limit or
53	restrict the ability of the Attorney General to bring a class
54	action for the recovery of statutory penalties, if otherwise
55	authorized by law. However, class action claimants may seek to
56	obtain, if appropriate, nonmonetary relief, including injunctive
57	relief and orders or declaratory relief and orders or judgments
58	enjoining wrongful conduct, regardless of whether the class
59	action claimants can prove any actual monetary damages. Nothing
60	in this section or in s. 774.02 shall be construed to in any way
61	limit or restrict the availability of such nonmonetary relief.
62	Section 2.  Section 774.02, Florida Statutes, is created to
63	read:
64	774.02  Demand to cure notice; opportunity to cure.--
65	(1)  As a prerequisite to filing a lawsuit seeking class
66	action status, a complainant shall provide the person alleged to
67	have committed the alleged misconduct with a demand to cure
68	notice advising the person of the specific complaint in
69	reasonable detail and:
70	(a)  If the complainant will seek damages, the amount of
71	the loss suffered by the complainant and the members of the
72	putative class as a result of the alleged misconduct, and the
73	damages sought.
74	(b)  If, on behalf of the complainant and members of the
75	putative class, the complainant will seek any nonmonetary
76	relief, the remedy sought.
77
78	The required demand to cure notice must be provided in writing
79	and provided at least 60 days prior to filing suit.
80	(2)  The complainant submitting the demand to cure notice
81	must state at the time of giving notice that the complainant
82	seeks to act on behalf of a class. No class action shall be
83	filed unless the person alleged to have committed the misconduct
84	is given the required demand to cure notice.
85	(3)  During the 60-day period, the person provided with a
86	demand to cure notice may request in writing that the
87	complainant permit inspection of the goods or other evidence
88	relevant to the claim in a reasonable manner and at a reasonable
89	time and place. The complainant must grant any reasonable
90	request to inspect in order to satisfy the obligation to permit
91	a reasonable opportunity to cure.
92	(4)  Any settlement by a complainant purporting to affect
93	the rights of any member of a putative class shall be approved
94	by a court of competent jurisdiction pursuant to applicable
95	federal or state rules of civil procedure and this section.
96	(5)  In addition to any requirements of the applicable
97	rules of civil procedure and the underlying action, when suit is
98	filed the plaintiff must plead and prove the following elements:
99	(a)  That the plaintiff provided the defendant with the
100	required demand to cure notice.
101	(b)  That the defendant failed to cure within the time
102	allowed.
103	(6)  A defendant shall have an absolute defense in an
104	action seeking class action status if:
105	(a)  The complainant did not provide the defendant with a
106	demand to cure notice;
107	(b)  The complainant denied the defendant a reasonable
108	opportunity to inspect; or
109	(c)  The defendant tendered to the complainant the damages
110	sought or the remedy proposed.
111	Section 3.  This act shall take effect July 1, 2005.

CODING: Words stricken are deletions; words underlined are additions.