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The legality of state limitations on medical malpractice tort damage awards
1Department of Economics, Memphis State University, TN 38152.
Abstract:
This study reviews the legal status of state medical malpractice damage limitations or "caps" now being challenged regularly on federal and state constitutional grounds. The case law resulting from the many state tort damage control laws passed during the mid-1980s in response to the "tort-insurance" crisis is examined, and the legal and economic implications of that litigation are analyzed. This study concludes that (1) the outcome of litigation depends largely on whether the challenge is heard in a federal or state court, (2) challenges based on the right to a jury trial are more likely to be successful, and (3) the influence of cap laws on insurance rates and availability to date has been minimal.