Y2K Act
| Date | Chamber | What was voted on | Result | Yes–No | |
|---|---|---|---|---|---|
| Jul 1, 1999 | House · vote #265 | On Agreeing to the Conference Report | Passed | 404–24 | See who voted → |
| Jun 24, 1999 | House · vote #253 | On Motion to Instruct Conferees | Passed | 426–0 | See who voted → |
| May 12, 1999 | House · vote #128 | On Passage | Passed | 236–190 | See who voted → |
| May 12, 1999 | House · vote #127 | On Motion to Recommit with Instructions | Failed | 184–246 | See who voted → |
TABLE OF CONTENTS:
Title I: Uniform Prelitigation Procedures for Year 2000
Actions
Title II: Year 2000 Actions Involving Contracts
Title III: Year 2000 Actions Involving Tort and Other
Noncontractual Claim
Title IV: Year 2000 Class Actions
Title V: Client Protection in Connection with Year 2000
Actions
Year 2000 Readiness and Responsibility Act - Makes this Act: (1) applicable to any year 2000 claim brought after January 1, 1999; and (2) inapplicable to any claim based on personal injury, including any claim that arises out of an underlying personal injury action.
Allows a person who is liable for damages, whether by settlement or judgment, in a claim or civil action to which this Act does not apply by reason of the personal injury claim exclusion and whose liability, in whole or in part, is the result of a year 2000 failure, to pursue any remedy otherwise available under Federal or State law against the person responsible for that failure to the extent of recovering the amount of those damages. Specifies that any such remedy shall not be subject to this Act.
Title I: Uniform Prelitigation Procedures for Year 2000 Actions - Requires a prospective plaintiff, before filing a year 2000 action, except in an action that seeks only injunctive relief, to provide to each prospective defendant a written notice that identifies with particularity as to any year 2000 claim: (1) any symptoms of a material defect alleged to have caused harm or loss; (2) the harm or loss allegedly suffered; (3) the facts that led the prospective plaintiff to hold such person responsible for both the defect and the injury; (4) the relief or action sought; and (5) the name, title, address, and telephone numbers of any individual who has authority to negotiate a resolution of the dispute on behalf of the prospective defendant. Specifies that such notice does not require descriptions of technical specifications or other technical details with respect to the material defect at issue. Bars a prospective plaintiff from commencing an action in Federal or State court until the expiration of 90 days after the date on which such notice is provided. Excludes such 90-day period in the computation of any applicable statute of limitations.
Requires each prospective defendant, not less than 30 days after receipt of notice, to send by certified mail to each prospective plaintiff a written statement acknowledging such receipt and describing any actions it has taken or will take by not later than 60 days after the end of that 30-day period to remedy the problem identified. Makes such statement inadmissible in evidence in any proceeding to prove liability for, or the invalidity of a claim or its amount, or otherwise as evidence of conduct or statements made in compromise negotiations. Presumes such notice to be received seven days after it was sent.
Sets forth provisions regarding failure to respond, failure to provide notice, the effect of contractual waiting periods, sanctions for frivolous invocation of the stay provision, and time computations. Makes requirements under this title applicable only to named plaintiffs in a year 2000 action that is maintained as a class action in Federal or State court.
(Sec. 102) Allows either party, at any time during the 90-day period, to request the other to use alternative dispute resolution (ADR). Specifies that resolution of the issues by the parties prior to litigation through negotiation or ADR shall foreclose any further proceedings with respect to those issues.
(Sec. 103) Requires the complaint, with respect to any year 2000 action: (1) that seeks the award of money damages, to state with particularity the nature and amount of each element of damages and the factual basis for the damages calculation; and (2) in which the plaintiff alleges that a product or service was defective, to identify with particularity the symptoms of the material defects and to state with particularity the facts supporting the conclusion that the defects are material. Sets forth provisions regarding state of mind, motion to dismiss, stay of discovery, and preservation of evidence.
(Sec. 104) Directs that damages awarded for any year 2000 claim exclude compensation for damages that the plaintiff could reasonably have avoided in light of any disclosure or other information of which the plaintiff was, or reasonably should have been, aware.
Title II: Year 2000 Actions Involving Contracts - Makes fully enforceable in any year 2000 action any written contractual term, including a limitation or exclusion of liability or a disclaimer of warranty, unless the enforcement of that term would manifestly and directly contravene applicable State law embodied in any statute in effect on January 1, 1999, specifically addressing that term, subject to a specified limitation where a contract is silent with respect to a particular issue.
(Sec. 202) Requires, with respect to any year 2000 claim for breach or repudiation of contract, that the applicability of the doctrines of impossibility and commercial impracticability be determined by law in existence on January 1, 1999. Specifies that to the extent that impossibility or commercial impracticability is raised as a defense against claim for breach or repudiation of contract, the party asserting the defense shall be allowed to offer evidence that its implementation of the contract, or its efforts to implement it, were reasonable in light of the circumstances.
(Sec. 203) Prohibits any party, with respect to any year 2000 claim involving a breach of contract or a claim related to the contract, from claiming or being awarded any category of damages unless such damages are allowed by the express terms of contract, or if the contract is silent on such damages by operation of the applicable Federal or State law that governed interpretation of the contract at the time the contract was entered into.
Title III: Year 2000 Actions Involving Tort and Other Noncontractual Claims - Makes a person against whom a final judgment is entered in a year 2000 claim, other than a claim for breach or repudiation of contract, liable solely for the portion of the judgment that corresponds to the percentage of liability of the person, as determined under this title. Directs the court to instruct the jury to answer special interrogatories or, if there is no jury, make findings, with respect to each defendant and plaintiff, and each of the other persons claimed by any of the parties to have caused or contributed to the loss incurred by the plaintiff, concerning the percentage of responsibility of the defendant, the plaintiff, and each such person, measured as a percentage of the total fault of all persons who caused or contributed to the total loss incurred by the plaintiff.
(Sec. 302) Bars liability with respect to any year 2000 claim for money damages in which the defendant is not the manufacturer, seller, or distributor of a product, or the provider of a service, that suffers or causes the year 2000 failure at issue, the plaintiff is not in substantial privity with the defendant, and the defendant's actual or constructive awareness of the actual or potential year 2000 failure is an element of the claim under applicable law, unless the plaintiff proves that the defendant actually knew, or recklessly disregarded a known and substantial risk, that such failure would occur.
Sets forth provisions regarding: (1) a reasonable efforts defense; (2) limits on damages; and (3) liability of officers and directors.
Title IV: Year 2000 Class Actions - Provides that in any year 2000 action involving a year 2000 claim that a product or service is defective, the action may be maintained as a class action in Federal or State law as to that claim only if it satisfies all other prerequisites established by applicable Federal or State law and if the court also finds that the alleged defect in the product or service was a material defect as to a majority of the members of the class.
(Sec. 402) Sets forth provisions regarding notification, dismissal prior to certification, and Federal jurisdiction in year 2000 class actions.
Title V: Client Protection In Connection with Year 2000 Actions - Makes this title applicable to any year 2000 action asserted or brought in Federal or State court.
(Sec. 503) Requires an attorney, before being retained by a client with respect to a year 2000 claim or action, to disclose the client's rights under this title and the client's right to receive a written statement of information regarding fees and settlement proposals.
(Sec. 504) Requires an attorney retained by a client with respect to a year 2000 claim or action to provide to the client: (1) within 30 days after such disclosure, a written statement setting forth the attorney's hourly fee or contingent fee for services in pursuing the claim or action and any conditions, limitations, restrictions, or other qualifications on the fee, including likely expenses and the client's obligation for those expenses; and (2) regular statements (at least once each 90 days) containing a description of hourly charges and expenses incurred.
(Sec. 505) Sets forth provisions regarding the consumer's right to timely updated information about settlement proposals and a detailed statement of hours and fees.
(Sec. 506) Requires an attorney representing a class or a defendant in a year 2000 action maintained as a class action to make the disclosures required under this title to the presiding judge, in addition to making such disclosures to each named representative of the class. Directs the presiding judge, at the outset of the year 2000 action, to determine a reasonable attorney's fee by determining the appropriate hourly rate and the maximum percentage of the recovery to be paid in attorney's fees.
(Sec. 507) Sets forth provisions regarding the award of reasonable costs and attorney's fees after an offer of settlement. Directs the court, if it finds with respect to a year 2000 claim that the dollar amount of the judgment, verdict, or order that is finally issued is not more favorable to the offeree with respect to such claim than the last such offer, to order the offeree to pay the offeror's costs and expenses, including attorney's fees, subject to specified limitations.
(Sec. 508) Authorizes a client whose attorney fails to comply with this title to file a civil action for damages in the court in which the year 2000 claim or action was filed or could have been filed or other court of competent jurisdiction. Makes the remedy provided by this section in addition to any other available remedy or penalty.
Became Public Law No: 106-37.