Legal Malpractice Bills Introduced in Both Houses of the State Legislature
On May 15, S-1815 (Lesniak) was introduced in the Senate and on May 22, the Assembly counterpart, A-2858 (Cryan) was introduced, to reduce the statute of limitations for legal malpractice from six years to two years and reverse the New Jersey Supreme Court decision in Saffer v. Willoughby, 143 N.J. 256 (1996), which requires attorneys to pay counsel fees to a prevailing party in legal malpractice cases. NJSBA strongly supports these bills, and I thank the bill sponsors, Senator Raymond Lesniak (D-Union) and Assemblyman Joseph Cryan (D-Union), for their leadership on this issue of vital importance to New Jersey State Bar Association members. REASONS TO SUPPORT THESE BILLS These important bills will provide businesses offering professional services the ability to predict, with greater certainty, potential liabilities and to plan for such liabilities accordingly. The modification of the statute of limitations from six years to two years, the longest in the geographic region, does not remove the right to bring a lawsuit, and New Jersey’s statute of limitations would continue to be subject to discovery rule. Instead, the legislation better defines the time period to bring such actions, allowing insurance companies to efficiently price their product with greater confidence, while encouraging business competition in the marketplace. Further, the legislation reverses the New Jersey Supreme Court’s decision in Saffer, which departed from the American Rule, which generally provides that litigants are responsible for their own attorneys’ fees, win or lose. In Saffer, the Court required attorneys to pay counsel fees to a prevailing party in legal malpractice cases. Attorneys appear to be the only profession subject to the so-called English Rule. S-1815/A-2858 would not modify New Jersey Supreme Court rule or State statutes which allow for fee shifting in other cases, such as Consumer Fraud Act violations or Law Against Discrimination cases. Amending the New Jersey Supreme Court’s ruling in Saffer reduces the windfall some litigants may enjoy, but does not alter a litigant’s right to be fully compensated. Often Saffer fees dwarf damage claims. Thus, amending the law to eliminate such fees will promote a stronger legal malpractice business climate and encourage a reduction in such premiums. TAKE ACTION TODAY S-1815 is pending before the Senate Commerce Committee, chaired by Senator Nia H. Gill and A-2858 is pending before the Assembly Regulated Professions Committee, chaired by Assemblyman Vincent Prieto. I urge you to contact the bill sponsors, Senator Lesniak and Assemblyman Cryan, today and members of the Senate Commerce Committee and Assembly Regulated Professions Committee to urge them to post these bills for committee vote at the earliest possible date. A sample letter and contact information is attached. Together we will work to strengthen and empower the legal profession with passage of these important bills.
SAMPLE LETTER FROM NJSBA MEMBERS TO BILL SPONSORS
[Date] Honorable [Full Name] [Address] [City], [State] [Zip] RE: S-1815/A-2858 (Lesniak/Cryan) Requires legal actions against certain licensed persons to be brought within two years. Dear [Senator Lesniak/Assemblyman Cryan], This is to respectfully request the review of S-1815/A-2858 by the [Senate Commerce Committee/Assembly Regulated Professions Committee] at the earliest possible date. As a practicing attorney, I enthusiastically endorse S-1815/A-2858 (Lesniak/Cryan), which requires legal actions against certain licensed persons to be brought within two years and to remove the legal fee subsidy permitted in such actions, and urge that the bill be passed by the State Legislature again, at the earliest possible date. I commend Senator Lesniak and Assemblyman Cryan for introducing these bills and again urge you to support S-1815/A2858.
Very truly yours,
[FULL NAME]
SAMPLE LETTER FROM NJSBA MEMBERS TO MEMBERS OF THE ASSEMBLY REGULATED PROFESSIONS COMMITTEE
[Date] Honorable [Full Name] [Address] [City], [State] [Zip] RE: S-1815/A-2858 (Lesniak/Cryan) Requires legal actions against certain licensed persons to be brought within two years. Dear [Assemblyman/Assemblywoman] [Last name], This is to respectfully request the review of S-1815/A-2858 by the Assembly Regulated Professions Committee at the earliest possible date. As a practicing attorney, I enthusiastically endorse S-1815/A-2858 (Lesniak/Cryan), which requires legal actions against certain licensed persons to be brought within two years and to remove the legal fee subsidy permitted in such actions, and urge that the bill be passed by the State Legislature again, at the earliest possible date. I commend Senator Lesniak and Assemblyman Cryan for introducing these bills and again urge you to support S-1815/A2858.
Very truly yours,
[FULL NAME]
SAMPLE LETTER FROM NJSBA MEMBERS TO MEMBERS OF THE SENATE COMMERCE COMMITTEE
[Date] Honorable [Full Name] [Address] [City], [State] [Zip] RE: S-1815/A-2858 (Lesniak/Cryan) Requires legal actions against certain licensed persons to be brought within two years. Dear [Senator] [Last name], This is to respectfully request the review of S-1815/A-2858 by the Senate Commerce Committee at the earliest possible date. As a practicing attorney, I enthusiastically endorse S-1815/A-2858 (Lesniak/Cryan), which requires legal actions against certain licensed persons to be brought within two years and to remove the legal fee subsidy permitted in such actions, and urge that the bill be passed by the State Legislature again, at the earliest possible date. I commend Senator Lesniak and Assemblyman Cryan for introducing these bills and again urge you to support S-1815/A2858.
Very truly yours,
[FULL NAME]