Bill Text: MN SF2966 | 2013-2014 | 88th Legislature | Introduced


Bill Title: Civil action by an insured against an insurer award of taxable costs regulation

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-04-10 - Referred to Judiciary [SF2966 Detail]

Download: Minnesota-2013-SF2966-Introduced.html

1.1A bill for an act
1.2relating to insurance; regulating the award of taxable costs in certain actions;
1.3amending Minnesota Statutes 2012, section 604.18, subdivision 4.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5    Section 1. Minnesota Statutes 2012, section 604.18, subdivision 4, is amended to read:
1.6    Subd. 4. Claim for taxable costs. (a) Upon commencement of a civil action by an
1.7insured against an insurer, the complaint must not seek a recovery under this section. After
1.8filing the suit judgment is entered or after trial of the action, a party may make a motion to
1.9amend the pleadings to claim recovery of taxable costs under this section. The moving
1.10party must be permitted discovery on the liability issue under subdivision 2 before the
1.11motion to amend the pleadings is made. The motion must allege the applicable legal basis
1.12under this section for awarding taxable costs under this section, and must be accompanied
1.13by one or more affidavits showing the factual basis for the motion. The motion may be
1.14opposed by the submission of one or more affidavits showing there is no factual basis
1.15for the motion. At the hearing, if the court finds prima facie evidence in support of the
1.16motion, the court may grant the moving party permission to amend the pleadings to claim
1.17taxable costs under this section.
1.18    (b) An award of taxable costs under this section shall be determined by the court in a
1.19proceeding subsequent to any determination by a fact finder of the amount an insured is
1.20entitled to under the insurance policy, and shall be governed by the procedures set forth
1.21in Minnesota General Rules of Practice, Rule 119. The verdict in the action brought
1.22pursuant to this section must be considered by the court in awarding taxable costs under
1.23this subdivision.
2.1    (c) An award of taxable costs under this section is not available in any claim that is
2.2resolved or confirmed by arbitration or appraisal.
2.3    (d) The following are not admissible in any proceeding that seeks taxable costs
2.4under this section:
2.5    (1) findings or determinations made in arbitration proceedings conducted under
2.6section 65B.525 or rules adopted under that section;
2.7    (2) allegations involving, or results of, investigations, examinations, or
2.8administrative proceedings conducted by the Department of Commerce;
2.9    (3) administrative bulletins or other informal guidance published or disseminated by
2.10the Department of Commerce; and
2.11    (4) provisions under chapters 59A to 79A and rules adopted under those sections
2.12are not admissible as standards of conduct.
2.13    (e) A claim for taxable costs under this section may not be assigned. This paragraph
2.14does not affect the assignment of rights not established in this section.
2.15EFFECTIVE DATE; APPLICATION.This section is effective the day following
2.16final enactment and applies to awards of taxable costs made on or after that date.
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