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Session 2005-06
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Monday 17th July 2006

Consideration of Bill


      New Amendments handed in are marked thus *

Compensation Bill [Lords], As Amended


New Clauses

Mesothelioma: damages

Bridget Prentice
Mr Michael Clapham
Paddy Tipping
Mr David Anderson
Charlotte Atkins
Mr David Hamilton
Total signatories: 14

    Mr Kevan Jones Martin Linton John Mann

    Mr Nicholas Brown Tony Lloyd Mr Frank Doran

    Judy Mallaber Mr Iain Wright

NC13

    To move the following Clause:—

      ‘(1) This section applies where—

        (a) a person (“the responsible person”) has negligently or in breach of statutory duty caused or permitted another person (“the victim”) to be exposed to asbestos,

        (b) the victim has contracted mesothelioma as a result of exposure to asbestos,

        (c) because of the nature of mesothelioma and the state of medical science, it is not possible to determine with certainty whether it was the exposure mentioned in paragraph (a) or another exposure which caused the victim to become ill, and

        (d) the responsible person is liable in tort, by virtue of the exposure mentioned in paragraph (a), in connection with damage caused to the victim by the disease (whether by reason of having materially increased a risk or for any other reason).

      (2) The responsible person shall be liable—

        (a) in respect of the whole of the damage caused to the victim by the disease (irrespective of whether the victim was also exposed to asbestos—

          (i) other than by the responsible person, whether or not in circumstances in which another person has liability in tort, or

          (ii) by the responsible person in circumstances in which he has no liability in tort), and

        (b) jointly and severally with any other responsible person.

      (3) Subsection (2) does not prevent—

        (a) one responsible person from claiming a contribution from another, or

        (b) a finding of contributory negligence.

      (4) In determining the extent of contributions of different responsible persons in accordance with subsection (3)(a), a court shall have regard to the relative lengths of the periods of exposure for which each was responsible; but this subsection shall not apply—

        (a) if or to the extent that responsible persons agree to apportion responsibility amongst themselves on some other basis, or

        (b) if or to the extent that the court thinks that another basis for determining contributions is more appropriate in the circumstances of a particular case.

      (5) In subsection (1) the reference to causing or permitting a person to be exposed to asbestos includes a reference to failing to protect a person from exposure to asbestos.

      (6) In the application of this section to Scotland—

        (a) a reference to tort shall be taken as a reference to delict, and

        (b) a reference to a court shall be taken to include a reference to a jury.

      (7) The Treasury may make regulations about the provision of compensation to a responsible person where—

        (a) he claims, or would claim, a contribution from another responsible person in accordance with subsection (3)(a), but

        (b) he is unable or likely to be unable to obtain the contribution, because an insurer of the other responsible person is unable or likely to be unable to satisfy the claim for a contribution.

      (8) The regulations may, in particular—

        (a) replicate or apply (with or without modification) a provision of the Financial Services Compensation Scheme;

        (b) replicate or apply (with or without modification) a transitional compensation provision;

        (c) provide for a specified person to assess and pay compensation;

        (d) provide for expenses incurred (including the payment of compensation) to be met out of levies collected in accordance with section 213(3)(b) of the Financial Services and Markets Act 2000 (c. 8) (the Financial Services Compensation Scheme);

        (e) modify the effect of a transitional compensation provision;

        (f) enable the Financial Services Authority to amend the Financial Services Compensation Scheme;

        (g) modify the Financial Services and Markets Act 2000 in its application to an amendment pursuant to paragraph (f);

        (h) make, or require the making of, provision for the making of a claim by a responsible person for compensation whether or not he has already satisfied claims in tort against him;

        (i) make, or require the making of, provision which has effect in relation to claims for contributions made on or after the date on which this Act is passed.

      (9) Provision made by virtue of subsection (8)(a) shall cease to have effect when the Financial Services Compensation Scheme is amended by the Financial Services Authority by virtue of subsection (8)(f).

      (10) In subsections (7) and (8)—

        (a) a reference to a responsible person includes a reference to an insurer of a responsible person, and

        (b) “transitional compensation provision” means a provision of an enactment which is made under the Financial Services and Markets Act 2000 and—

          (i) preserves the effect of the Policyholders Protection Act 1975 (c. 75), or

          (ii) applies the Financial Services Compensation Scheme in relation to matters arising before its establishment.

      (11) Regulations under subsection (7)—

        (a) may include consequential or incidental provision,

        (b) may make provision which has effect generally or only in relation to specified cases or circumstances,

        (c) may make different provision for different cases or circumstances,

        (d) shall be made by statutory instrument, and

        (e) may not be made unless a draft has been laid before and approved by resolution of each House of Parliament.’.


Specified conditions for exemption

Mr Oliver Heald
Simon Hughes

NC1

    To move the following Clause:—

      ‘The Secretary of State shall make regulations about the specified conditions for exemption in section 5 and any Code of Conduct issued in connection with such conditions.’.


Offence of contravening specified conditions

Mr Oliver Heald

NC2

    To move the following Clause:—

      ‘(1) A person commits an offence if he contravenes the specified conditions in section 5 and any Code of Conduct issued in connection with such conditions.

      (2) A person who is guilty of an offence under subsection (1) shall be liable—

        (a) on conviction on indictment—

          (i) to imprisonment for a term not exceeding two years,

          (ii) to a fine, or

          (iii) to both; or

        (b) on summary conviction—

          (i) to imprisonment of a term not exceeding 51 weeks,

          (ii) to a fine not exceeding level 5 on the standard scale, or

          (iii) to both,

      (3) An offence under this section is “an offence committed under this Part” for the purposes of section 7.’.


Contributory negligence

Mr Oliver Heald
Mr Philip Hollobone

NC3

    To move the following Clause:—

      ‘In determining the extent to which the claimant’s damages shall be reduced by reason of his contributory negligence, a court may determine a reduction of 100 per cent. if the court considers it just and equitable to do so, with the result that the claim for damages fails.’.


Presumption of contributory negligence in cases of intoxication

Mr Oliver Heald
Mr Philip Hollobone
Simon Hughes

NC4

    To move the following Clause:—

      ‘(1) If at the time that an injury or loss was sustained the claimant was intoxicated, there will be a presumption that the claimant contributed to the injury or loss unless the court is satisfied that the claimant’s intoxication did not contribute in any way to the cause of the injury or loss.

      (2) For the purpose of this section “intoxication”—

        (a) includes being under the influence of alcohol or a drug, whether taken medicinally, legally or illegally;

        (b) excludes intoxication which was not self-induced.’.


Injunction restraining exempt person

Mr Oliver Heald

NC5

    To move the following Clause:—

      ‘(1) The Regulator may apply to the court for an injunction restraining an exempt person from providing regulated claims management services if he is in contravention of the specified conditions in section 5 or any connected Code of Conduct.

      (2) In subsection (1) “the court” means the High Court or a county court.’.


Mesothelioma Compensation Board

Mr Oliver Heald

NC6

    To move the following Clause:—

      ‘(1) The Secretary of State may by regulations establish a body known as the Mesothelioma Compensation Board.

      (2) Regulations made under this section shall make provision as to the functions and powers of the Board.’.


Asymptomatic chemical exposure

Mr Andrew Dismore1

NC7

    To move the following Clause:—

      ‘The lodging in the body of a chemical or substance which may cause injury as a consequence of negligence or breach of statutory duty, shall give rise to a cause of action whether or not the lodging has caused symptoms at the time the action is commenced or brought to trial.’.


Disapplication of Crown Proceedings Acts

Mr Andrew Dismore [R]

NC8

    To move the following Clause:—

      ‘The Crown Proceedings Act 1947 and the Crown Proceedings (Armed Forces) Act 1987 shall not provide a defence to a claim brought after the Act came into force, in respect of injury caused by exposure to chemicals or substances occurring before that date but which did not manifest symptoms in the claimant until after that date.’.


Binding admissions of liability

Mr Andrew Dismore [R]

NC9

    To move the following Clause:—

      ‘An open admission of liability in writing by a defendant or his insurer in response to a personal injury claim shall be binding in any proceedings arising out of that claim.’.


Disapplication of Part 2

Mr Andrew Dismore [R]

NC10

    To move the following Clause:—

      ‘The provisions of Part 2 of this Act shall not apply to legal services offered or arranged by Trades Unions for the benefit of their members or members’ families.’.


Compensation for coalminers

John Mann
Mr Kevan Jones

NC11

    To move the following Clause:—

      ‘(1) Where costs have been paid by the Government under the schedules of any prescribed claims handling agreement, any additional monies levied from individual claimants shall be repaid immediately by the receiving agent to the claimant.

      (2) For the purposes of this section—

      “claims handling agreement” means—

      (a) the 1999 agreement between the Union of Democratic Mineworkers (UDM) and the Government on chronic obstructive pulmonary disease,

      (b) the 1999 agreement between Vendside Ltd and the Government on vibration white finger, and

      (c) the 1999 agreements on vibration white finger and chronic obstructive pulmonary disease between the claimants’ solicitors group and the Government;

      “additional monies” includes membership fees, money in lieu of membership fees, marketing fees or other related charges;

      “receiving agent” means the solicitor or claims handler who received monies from the individual claimant.’.


Claims made against animal owners

Mr Laurence Robertson

NC12

    To move the following Clause:—

      ‘With regard to claims made against animal owners under the provisions of the Animals Act 1971 (c. 22), it shall be a defence in law for a person to show that—

        (a) he took all reasonable steps to keep the animal concerned in a secure enclosure consistent with the welfare of that animal;

        (b) he took all reasonable care to control the animal in order to avoid an incident taking place; or

        (c) he took all reasonable steps to prevent his animals causing damage to a third party, his property or livestock.’.


Mr Andrew Dismore [R]
Simon Hughes

6

Page 1, line 4 [Clause 1], after ‘duty’, insert ‘(other than a claim brought by an employee in respect of an injury arising out of or sustained during the course of his employment)’.

Mr Julian Brazier
Kate Hoey
Lembit Öpik
Derek Wyatt
Frank Dobson
Angela Watkinson
Total signatories: 11

1

Page 1, line 4 [Clause 1], leave out ‘may’ and insert ‘shall’.

Simon Hughes

13

Page 1, line 8 [Clause 1], leave out ‘a desirable activity’ and insert ‘an activity of social value’.

Simon Hughes

14

Page 1, line 11 [Clause 1], leave out ‘desirable’ and insert ‘socially valuable’.

Mr Oliver Heald

2

Page 1, line 11 [Clause 1], at end insert—

      ‘(2) After subsection 1(6) of the Occupiers’ Liability Act 1984 (c. 3), there is inserted—

      “( ) No duty is owed by virtue of this section to any person in respect of risks which are caused solely by the actions of that person.”.

      (3) After subsection 2(3) of that Act, there is inserted—

      “( ) No duty is owed by virtue of this section to any person in respect of risks which are caused solely by the actions of that person.”.’.

Mr Oliver Heald

3

Page 1, line 11 [Clause 1], at end insert—

      ‘(2) After subsection 1(1) of the Occupiers’ Liability Act 1984 (c. 3), there is inserted—

      “( ) In determining whether any, and if so what, duty is owed by virtue of section 1 by an occupier of land, regard is to be had to the fact that no undue burden (whether financial or otherwise) should be placed on the occupier.”.

      (3) After subsection 2(4)(b) of the Occupiers’ Liability Act 1957 (c. 31), there is inserted—

      “( ) No undue burden (whether financial or otherwise) should be placed on the occupier.”.’.

Mr Oliver Heald

4

Page 1, line 11 [Clause 1], at end insert—

      ‘(2) In section 1 of the Occupiers’ Liability Act 1984 (c. 3), for subsection 6A there is inserted—

      “(6A) No duty is owed by virtue of this section to any person in respect of—

        (a) a risk resulting from the existence of any natural feature of the landscape, or any river, stream, ditch or pond whether or not a natural feature, or

        (b) a risk of that person suffering injury when passing under or through any wall, fence or gate, except by proper use of the gate or of a stile.”.’.


Bridget Prentice

11

Page 2, line 38 [Clause 3], at end insert—

      ‘(5) The Secretary of State may by order provide that a claim for a specified benefit shall be treated as a claim for the purposes of this Part.

      (6) The Secretary of State may specify a benefit under subsection (5) only if it appears to him to be a United Kingdom social security benefit designed to provide compensation for industrial injury.’.


Bridget Prentice

12

Page 8, line 44 [Clause 14], at end insert—

      ‘(3A) An order under section 3(5) may not be made unless a draft has been laid before, and approved by resolution of, each House of Parliament.’.


Simon Hughes

15

Page 9, line 8 [Clause 14], at end insert—

      ‘(6) The first order made under section 5 may not be made unless a draft has been laid before, and approved by resolution of, each House of Parliament.

      (6A) An order under section 5 which has the effect of removing or restricting an exemption from section 3(1) may not be made unless a draft has been laid before, and approved by resolution of, each House of Parliament.’.

Simon Hughes

16

Page 9, line 9 [Clause 14], leave out ‘an’ and insert ‘any other’

Bridget Prentice

7

Page 9, line 16 [Clause 15], leave out ‘section 1’ and insert ‘sections 1, 2 and [Mesothelioma: damages]’.

Bridget Prentice

8

Page 9, line 22 [Clause 15], at end insert—

      ‘(3) Section [Mesothelioma: damages] shall be treated as having always had effect.

      (4) But the section shall have no effect in relation to—

        (a) a claim which is settled before 3rd May 2006 (whether or not legal proceedings in relation to the claim have been instituted), or

        (b) legal proceedings which are determined before that date.

      (5) Where a claim is settled on or after that date and before the date on which this Act is passed, a party to the settlement may apply to a relevant court to have the settlement varied; and—

        (a) a court is a relevant court for that purpose if it had, or would have had, jurisdiction to determine the claim by way of legal proceedings,

        (b) an application shall be brought as an application in, or by way of, proceedings on the claim, and

        (c) a court to which an application is made shall vary the settlement to such extent (if any) as appears appropriate to reflect the effect of section [Mesothelioma: damages].

      (6) Where legal proceedings are determined on or after that date and before the date on which this Act is passed, a party to the proceedings may apply to the court to vary the determination; and—

        (a) “the court” means the court which determined the proceedings,

        (b) the application shall be treated as an application in the proceedings, and

        (c) the court shall vary the determination to such extent (if any) as appears appropriate to reflect the effect of section [Mesothelioma: damages].’.

Bridget Prentice

9

Page 9, line 24 [Clause 16], at end insert—

      ‘(2) But section [Mesothelioma: damages] (and section 15(3) to (6)) shall extend to—

        (a) England and Wales,

        (b) Scotland, and

        (c) Northern Ireland.’.


Mr Oliver Heald
Simon Hughes

5

Page 12, line 13 [Schedule], at end insert—

    ‘(1A) A code of practice issued under subsection (1) shall include details of the advertising standards for providers of claims management services.’.


Bridget Prentice

10

Title, line 2, after ‘duty;’, insert ‘to make provision about damages for mesothelioma;’.

 
 

ORDER OF THE HOUSE [8TH JUNE 2006]

       That the following provisions shall apply to the Compensation Bill [Lords]

Committal

        1. The Bill shall be committed to a Standing Committee.

Proceedings in Standing Committee

        2. Proceedings in the Standing Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 27th June 2006.

        3. The Standing Committee shall have leave to sit twice on the first day on which it meets.

Consideration and Third Reading

        4. Proceedings on consideration shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which those proceedings are commenced.

        5. Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

        6. Standing Order No. 83B (Programming committees) shall not apply to proceedings on consideration and Third Reading.

Other proceedings

        7. Any other proceedings on the Bill (including proceedings on any message from the Lords) may be programmed.




  1. Relevant registered interest declared.

 
 
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Prepared: 17 July 2006