Florida Senate - 2009                        COMMITTEE AMENDMENT
       Bill No. CS for SB 422
       
       
       
       
       
       
                                Barcode 216732                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/20/2009           .                                
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       The Committee on Community Affairs (Gardiner) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Between lines 331 and 332
    4  insert:
    5         Section 7. Subsection (7) and paragraphs (b) and (c) of
    6  subsection (9) of section 324.021, Florida Statutes, are amended
    7  to read:
    8         324.021 Definitions; minimum insurance required.—The
    9  following words and phrases when used in this chapter shall, for
   10  the purpose of this chapter, have the meanings respectively
   11  ascribed to them in this section, except in those instances
   12  where the context clearly indicates a different meaning:
   13         (7) PROOF OF FINANCIAL RESPONSIBILITY.—That proof of
   14  ability to respond in damages for liability on account of
   15  crashes arising out of the use of a motor vehicle:
   16         (a) In the amount of $10,000 because of bodily injury to,
   17  or death of, one person in any one crash;
   18         (b) Subject to such limits for one person, in the amount of
   19  $20,000 because of bodily injury to, or death of, two or more
   20  persons in any one crash;
   21         (c) In the amount of $10,000 because of injury to, or
   22  destruction of, property of others in any one crash; and
   23         (d) With respect to commercial motor vehicles and nonpublic
   24  sector buses, in the amounts specified in ss. 627.7415 and
   25  627.742, respectively; and
   26         (e) With respect to leased or rented motor vehicles, in the
   27  amounts specified in subsection (9)(b).
   28         (9) OWNER; OWNER/LESSOR.—
   29         (b) Owner/lessor.—Notwithstanding any other provision of
   30  the Florida Statutes or existing case law:
   31         1. The lessor, under an agreement to lease a motor vehicle
   32  for 1 year or longer which requires the lessee to obtain
   33  insurance acceptable to the lessor which contains limits not
   34  less than $100,000/$300,000 bodily injury liability and $50,000
   35  property damage liability or not less than $500,000 combined
   36  property damage liability and bodily injury liability, shall not
   37  be further financially responsible deemed the owner of said
   38  motor vehicle for the purpose of determining financial
   39  responsibility for the operation of said motor vehicle or for
   40  the acts of the operator in connection therewith; further, this
   41  subparagraph shall be applicable so long as the insurance
   42  meeting these requirements is in effect. The insurance meeting
   43  such requirements may be obtained by the lessor or lessee,
   44  provided, if such insurance is obtained by the lessor, the
   45  combined coverage for bodily injury liability and property
   46  damage liability shall contain limits of not less than $1
   47  million and may be provided by a lessor’s blanket policy.
   48         2. The lessor, under an agreement to rent or lease a motor
   49  vehicle for a period of less than 1 year, shall be financially
   50  responsible deemed the owner of the motor vehicle for the
   51  purpose of determining liability for the operation of the
   52  vehicle or the acts of the operator in connection therewith only
   53  up to $100,000 per person and up to $300,000 per incident for
   54  bodily injury and up to $50,000 for property damage. If the
   55  lessee or the operator of the motor vehicle is uninsured or has
   56  any insurance with limits less than $500,000 combined property
   57  damage and bodily injury liability, the lessor shall be
   58  financially responsible liable for up to an additional $500,000
   59  in economic damages only arising out of the use of the motor
   60  vehicle. The additional specified financial responsibility
   61  liability of the lessor for economic damages shall be reduced by
   62  amounts actually recovered from the lessee, from the operator,
   63  and from any insurance or self-insurance covering the lessee or
   64  operator. Nothing in this subparagraph shall be construed to
   65  affect the liability of the lessor for its own negligence.
   66         3. The lessor shall be liable for failure to meet the
   67  financial responsibility and liability insurance requirements of
   68  subparagraphs (b)1. and 2. hereunder, up to the amounts of those
   69  requirements.
   70         4. The owner who is a natural person and loans a motor
   71  vehicle to any permissive user shall be liable for the operation
   72  of the vehicle or the acts of the operator in connection
   73  therewith only up to $100,000 per person and up to $300,000 per
   74  incident for bodily injury and up to $50,000 for property
   75  damage. If the permissive user of the motor vehicle is uninsured
   76  or has any insurance with limits less than $500,000 combined
   77  property damage and bodily injury liability, the owner shall be
   78  liable for up to an additional $500,000 in economic damages only
   79  arising out of the use of the motor vehicle. The additional
   80  specified liability of the owner for economic damages shall be
   81  reduced by amounts actually recovered from the permissive user
   82  and from any insurance or self-insurance covering the permissive
   83  user. Nothing in this subparagraph shall be construed to affect
   84  the liability of the owner for his or her own negligence.
   85         (c) Application.—
   86         1. The limits on financial responsibility and liability in
   87  subparagraphs (b)2. and 4.3. do not apply to an owner of motor
   88  vehicles that are used for commercial activity in the owner’s
   89  ordinary course of business, other than a rental company that
   90  rents or leases motor vehicles. For purposes of this paragraph,
   91  the term “rental company” includes only an entity that is
   92  engaged in the business of renting or leasing motor vehicles to
   93  the general public and that rents or leases a majority of its
   94  motor vehicles to persons with no direct or indirect affiliation
   95  with the rental company. The term also includes a motor vehicle
   96  dealer that provides temporary replacement vehicles to its
   97  customers for up to 10 days. The term “rental company” also
   98  includes:
   99         a. A related rental or leasing company that is a subsidiary
  100  of the same parent company as that of the renting or leasing
  101  company that rented or leased the vehicle.
  102         b. The holder of a motor vehicle title or an equity
  103  interest in a motor vehicle title if the title or equity
  104  interest is held pursuant to or to facilitate an asset-backed
  105  securitization of a fleet of motor vehicles used solely in the
  106  business of renting or leasing motor vehicles to the general
  107  public and under the dominion and control of a rental company,
  108  as described in this subparagraph, in the operation of such
  109  rental company’s business.
  110         2. Furthermore, with respect to commercial motor vehicles
  111  as defined in s. 627.732, the limits on financial responsibility
  112  and liability in subparagraphs (b)2. and 3.4. do not apply if,
  113  at the time of the incident, the commercial motor vehicle is
  114  being used in the transportation of materials found to be
  115  hazardous for the purposes of the Hazardous Materials
  116  Transportation Authorization Act of 1994, as amended, 49 U.S.C.
  117  ss. 5101 et seq., and that is required pursuant to such act to
  118  carry placards warning others of the hazardous cargo, unless at
  119  the time of lease or rental either:
  120         a. The lessee indicates in writing that the vehicle will
  121  not be used to transport materials found to be hazardous for the
  122  purposes of the Hazardous Materials Transportation Authorization
  123  Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq.; or
  124         b. The lessee or other operator of the commercial motor
  125  vehicle has in effect insurance with limits of at least
  126  $5,000,000 combined property damage and bodily injury liability.
  127         Section 8. The amendments to section 324.021, F.S., made by
  128  this act are intended to clarify that Florida law as it existed
  129  at the time of the enactment of 49 U.S.C. s. 30106(b) (2005)
  130  imposed financial responsibility and imposed liability on
  131  business entities engaged in the trade of business of renting or
  132  leasing motor vehicles for failure to meet financial
  133  responsibility and liability insurance requirements, as those
  134  terms are used in 49 U.S.C. s. 30106(b) (2005).
  135  
  136  ================= T I T L E  A M E N D M E N T ================
  137         And the title is amended as follows:
  138         Delete line 31
  139  and insert:
  140  for an agreement; amending s.324.021, F.S.; clarifying
  141  imposition of financial liability and liability on entities
  142  renting or leasing motor vehicles; amending s. 337.0261, F.S.;