LRB-4314/2
RPN&PJK:lmk:rs
2005 - 2006 LEGISLATURE
February 27, 2006 - Introduced by Representatives Vos, Vukmir, J. Fitzgerald,
Gielow, Lothian, Ainsworth, Musser, Kleefisch, Newcomer, Pridemore,
Jeskewitz, Nass, Kerkman, Underheim, F. Lasee, LeMahieu, Ballweg, Owens,
Kestell, Hahn and
Albers, cosponsored by Senators S. Fitzgerald, A. Lasee,
Reynolds, Kedzie, Roessler, Darling and Leibham. Referred to Committee on
Insurance.
AB1074,1,2
1An Act to amend 655.013 (1m) (intro.); and
to create 655.013 (1p) of the
2statutes;
relating to: recovery of attorney fees in medical malpractice cases.
Analysis by the Legislative Reference Bureau
Currently, if an attorney accepts a medical malpractice case on a contingency
fee basis, generally the fee is limited to the costs of the prosecution and 33 and
one-third percent of the first $1,000,000 recovered and 20 percent of any amount
recovered in excess of $1,000,000. The court may award fees in excess of these limits
in exceptional circumstances. This bill limits attorney fees to the costs of the
prosecution and 40 percent of the first $50,000 recovered, 33 and one-third percent
of the next $50,000 recovered, 25 percent of the next $500,000 recovered, and 15
percent of any amount recovered in excess of $600,000. The bill also excludes the
attorney's office overhead costs and office support staff costs, payments to consulting
attorneys, and charges from the costs of the prosecution.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB1074, s. 1
3Section
1. 655.013 (1m) (intro.) of the statutes is amended to read:
AB1074,2,44
655.013
(1m) (intro.) Except as provided in sub. (1t), with respect to any act of
5malpractice for which a contingency fee arrangement is entered into on and after
1June 14, 1986,
and before the effective date of this subsection .... [revisor inserts
2date], in addition to compensation for the reasonable costs of prosecution of the claim,
3the compensation determined on a contingency basis and payable to all attorneys
4acting for one or more plaintiffs or claimants is subject to the following limitations:
AB1074, s. 2
5Section
2. 655.013 (1p) of the statutes is created to read:
AB1074,2,116
655.013
(1p) (a) Except as provided in sub. (1t), with respect to any act of
7malpractice for which a contingency fee arrangement is entered into on or after the
8effective date of this subsection .... [revisor inserts date], in addition to compensation
9for the reasonable costs of prosecution of the claim, the compensation determined on
10a contingency basis and payable to all attorneys acting for one or more plaintiffs or
11claimants shall be as follows:
AB1074,2,1212
1. Forty percent of the first $50,000 recovered.
AB1074,2,1313
2. Thirty-three and one-third percent of the next $50,000 recovered.
AB1074,2,1414
3. Twenty-five percent of the following $500,000 recovered.
AB1074,2,1515
4. Fifteen percent of any amount in excess of $600,000 recovered.
AB1074,2,1816
(b) In this subsection, the reasonable costs of prosecution of the claim does not
17include medical costs incurred by the plaintiff, payments to consulting attorneys, or
18the attorneys' office overhead costs and office support staff costs.
