Allan F. Ramsaur, TBA Executive Director
(800) 899-6993 or (615) 277-3200
aramsaur@tnbar.org
June 24, 2004
Legislative recap shows it was a busy, productive year
The TBA again had a very active year working with the Tennessee General Assembly and the Bredesen administration.
Here’s a summary of those activities — including legislation sponsored by the TBA and other matters in which the association assisted, proposed or opposed legislative action. In addition, you’ll find intelligence on where some issues are likely to be moving over the coming months.
BANKING AND CREDIT
The TBA assisted in turning back efforts to make some fundamental changes in the Uniform Commercial Code, Article 9. Those efforts included legislation to immediately vest ownership interest in the secured party upon repossession of the collateral (SB 2815 Fowler, HB 2740 Bunch, and SB 1891 Ramsey, HB 1832 Bunch). There was also legislation that attempted to add the social security number and the federal employer identification number to the UCC financing statement (SB 2815 Fowler, HB 2740 Bunch), which would have caused a great deal of disruption. All three of these bills are on the House Judiciary Committee’s Summer Study Docket.
COMMERCIAL LAW
In the commercial law arena, the TBA assisted in gaining a deferral of the legislation to provide for corporate representation in General Sessions Court (SB 992 Crowe, HB 1189 Davis) and a complete re-write of the Professional Corporation Act (SB 3005 Kilby, HB 2882 Ferguson).
CORRECTIONS
The TBA assisted the sponsors with legislation that provided for better compensation for those wrongfully imprisoned. This legislation was significantly compromised to impose a $1 million limit but does make proof of damages and settlement much easier. Public Chapter 880. Download at http://www.tba.org/legisflash/2004/pc0880.pdf
CRIMINAL LAW
In the Criminal Law arena, much of the TBA focus was on bills to amend last year’s legislation creating a presumption of summons in lieu of arrest warrants when the complainant is a citizen. The legislation finally adopted provided for additional exceptions to the general presumption. Public Chapter 889. Download at http://www.tba.org/legisflash/2004/pc0889.pdf
ESTATES AND TRUSTS
The two bills sponsored by the TBA fell into this category. The first, which lead to enactment of the Tennessee Uniform Trust Code, is now Public Chapter 537. This joint effort with the Tennessee Bankers Association codifies, in one place, most of the statutes and common law rules for the administration of trusts and fills in many of the gaps. This legislation was the subject of a TennBarU CLE on June 24. The other pieces of legislation are the annual Omnibus amendments to the probate law. Public Chapter 886. Download at http://www.tba.org/legisflash/2004/pc0886.pdf
DOMESTIC RELATIONS
Much of the effort in the family law arena was focused on turning back legislation to create a presumption of equally shared parenting, joint child custody orders, or alternate primary residential custody of child. These were ultimately deferred by the House Children and Family Affairs Domestic Relations Subcommittee for further study.
GOVERNMENT REGULATION
A bill that got a great deal of attention during the first year of the 103rd General Assembly was one dealing with compensation for consulting services paid to an official in a legislative or executive branch. The TBA’s concern was over the way in which the bill could have impinged upon attorney-client relationships for lawmakers involved the legislature or executive branches. This bill (SB 1671 Trail, HB 1249 McMillan) was not adopted after the Senate and House disagreed but sponsors had agreed to TBA amendments, which were adopted in both houses.
The other government regulation bill was an attempt by the private process servers to set up an entire licensing and regulatory scheme and thereby obviate the provisions adopted by the TBA two years ago to permit service of process and sessions court by private individuals.
HEALTH CARE
The Tennessee Health Care Decisions Act, Public Chapter 862, creates new provisions for surrogates to assist in health care decisions. The TBA was successful in its effort to preserve the present living will and durable power of attorney statutes and their effect after the enactment of the new law. Download at http://www.tba.org/legisflash/2004/pc0862.pdf
JUDICIARY
Two efforts aimed at either eliminating merit selection for the Tennessee Appellate Courts (SB 2592 Fowler, HB 2637 Bunch) or (SJR 36 Fowler) or hampering its deliberations (SB 845 Fowler, HB 1924 Bunch) ultimately were turned back by a narrow committee vote. The TBA invested some of its effort and capital in assisting in this effort.
Establishment of a statute of repose for attorney malpractice continues to be a priority item for the TBA. The legislation (SB1542 Haynes, HB 163 Buck) failed to receive positive action when it drew negative reaction from our colleagues in the Tennessee Trial Lawyers Association.
PUBLIC EMPLOYEES
Both district attorney and public defender salary scales were adjusted and additional positions created as part of legislative action at the end of the session. The new positions will be funded effective January 1, 2005. The restoration of step raises takes effect on July 1. Public Chapter 821. Download at http://www.tba.org/legisflash/2004/pc0821.pdf
TAXES/BUSINESS
Efforts to either reduce or create exemptions from the $400 lawyer annual professional privilege all fell on deaf ears on what began as a tough budget year.
TORT LIABILITY
Throughout the two-year session there was much smoke but little fire with respect to tort liability and in particular medical malpractice. The Joint Tort Reform Committee made some limited recommendations in the middle of the second session. Even those bills, which were recommended by the committee, were not adopted. This included legislation to modify the effect of Givens (SB 1659 Norris, HB 986 Overbey). The TBA offer at a compromise was unsuccessful.
TRANSPORTATION LEGISLATION
Creating a new “Certificate of Driving” to replace those provisions that had opened up the Tennessee Drivers License statute to those without documentation was adopted near the end of the session. Public Chapter 778. The TBA favored granting driving privileges to promote traffic safety and addresses identification issues in the justice system. Download at http://www.tba.org/legisflash/2004/pc0778.pdf
WORKERS’ COMPENSATION
Much of the fire and heat at the end of the session was on workers’ compensation changes. The Senate Commerce Committee, which did most of the heavy lifting on the Workers’ Compensation bill, turned back a TBA amendment that would have made benefit review conferences mandatory prior to final hearing rather than before filing a lawsuit in a workers’ compensation suit by the slimmest of margins on a 5-4 vote. (Public Chapter 962.) The bill caps benefits for permanent partial disability for those who return to work at 1.5 times the medical impairment rating. Download at http://www.tba.org/legisflash/2004/pc0962.pdf
TBA ACTION LIST
Monitor legislation in which the TBA has an interest of record — bills the TBA initiated, bills on which the TBA has taken a position or bills on which the TBA has policy. http://www.tba.org/legisflash/2004/tba_actionlist_2004.html
PUBLIC CHAPTER NUMBERS
You can obtain the Public Chapter number of any bill from the Secretary of State’s web site at
http://www.state.tn.us/sos/acts/
Questions, comments? Contact TBA Legislative Counsel Steve Cobb at
SAC@wallerlaw.com or TBA Executive Director Allan F. Ramsaur at
aramsaur@tnbar.org
