United States · Bill · HR
H.R. 2366 (106th)
Small Business Liability Reform Act of 2000
Introduced
25 June 1999
Last action
28 March 2000 · Calendars
Status
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 476.
Sponsors
Rep. Rogan, James E. [R-CA-27], Rep. Holden, Tim [D-PA-17], Sen. Burr, Richard [R-NC], Rep. Moran, James P. [D-VA-8], Rep. Nussle, Jim [R-IA-2], Rep. Baker, Richard H. [R-LA-6], Rep. Cunningham, Randy (Duke) [R-CA-50], Sen. DeMint, Jim [R-SC], Rep. Lewis, Jerry [R-CA-41], Rep. Weldon, Dave [R-FL-15], Rep. Ryun, Jim [R-KS-2], Rep. Pitts, Joseph R. [R-PA-16], Sen. Talent, Jim [R-MO], Rep. Hill, Rick [R-MT-At Large], Rep. Pryce, Deborah [R-OH-15], Rep. Hobson, David L. [R-OH-7], Rep. Goode, Virgil H., Jr. [R-VA-5], Rep. McCollum, Bill [R-FL-8], Rep. Cannon, Chris [R-UT-3], Rep. Condit, Gary A. [D-CA-18], Sen. Vitter, David [R-LA], Rep. Smith, Lamar [R-TX-21], Rep. Combest, Larry [R-TX-19], Rep. Northup, Anne M. [R-KY-3], Rep. Watkins, Wes [R-OK-3], Rep. Stump, Bob [R-AZ-3], Rep. Davis, Tom [R-VA-11], Rep. Whitfield, Ed [R-KY-1], Rep. Chabot, Steve [R-OH-1], Rep. Tancredo, Thomas G. [R-CO-6], Rep. Watts, J. C., Jr. [R-OK-4], Rep. Myrick, Sue Wilkins [R-NC-9], Rep. Goodlatte, Bob [R-VA-6]
Subjects
Environment
Source updated
7 April 2025
Summary
TABLE OF CONTENTS: Title I: Small Business Lawsuit Abuse Protection Title II: Product Seller Fair Treatment Small Business Liability Reform Act of 1999 - Title I: Small Business Lawsuit Abuse Protection - Allows punitive damages to be awarded against a small business only if the claimant establishes by clear and convincing evidence that conduct carried out by the defendant through willful misconduct or with a conscious, flagrant indifference to the rights or safety of others was the proximate cause of the harm that is the subject of the action. Limits such punitive damages to the lesser of two times the amount awarded for economic and noneconomic losses, or $250,000. (Sec. 104) States that, in any civil action against a small business: (1) each defendant shall be liable only for the amount of noneconomic loss allocated to that defendant in direct proportion to the percentage of responsibility of that defendant for the harm caused to the plaintiff; and (2) the court shall render a separate judgment against each defendant describing such percentage of responsibility. (Sec. 105) Excepts from such liability limitations any misconduct of a defendant: (1) that constitutes a crime of violence, international terrorism, or a hate crime; (2) that results in liability for damages under specified provisions of the Oil Pollution Control Act of 1990 or the Comprehensive Environmental Response, Compensation, and Liability Act of 1980; (3) that involves a sexual offense or violation of a Federal or State civil rights law; or (4) caused by being under the influence of intoxicating alcohol or a drug. (Sec. 106) Preempts inconsistent State law. Title II: Product Seller Fair Treatment - States that this title governs any product liability action brought in any Federal or State court. Excludes from this title actions for commercial loss, negligent entrustment, negligence per se concerning firearms and ammunition, and actions brought under a dram-shop or third-party liability arising out of the sale or provision of alcohol to an intoxicated person or a minor. (Sec. 204) Mandates that, in any product liability action covered by this Act, a product seller other than a manufacturer shall be liable to a claimant only if such claimant establishes that: (1) the product that caused the harm was sold, rented, or leased by the seller, the seller failed to exercise reasonable care with respect to the product, and such failure was the proximate cause of harm to the plaintiff; (2) the seller made an express warranty applicable to such product, the product failed to conform to the warranty, and such failure caused the harm to the plaintiff; or (3) the product seller engaged in intentional wrongdoing (as determined under applicable State law), and such wrongdoing caused the harm to the plaintiff. States that a seller shall not be considered to have failed to exercise reasonable care with respect to a product based upon a failure to inspect if: (1) there was no reasonable opportunity to inspect; or (2) such inspection would not have revealed the aspect of the product that allegedly caused the claimant's harm. Allows a seller to be liable as a manufacturer if: (1) the manufacturer is not subject to appropriate service of process; or (2) the court determines that the claimant is or would be unable to enforce a judgment against the manufacturer. Provides limited liability for persons engaged in the business of renting or leasing a product.
This text is taken from the official record. PoliticalRepo does not editorialize.
Timeline
25 June 1999
Introduced
Referred to the Committee on the Judiciary, and in addition to the Committee on Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Source: IntroReferral
25 June 1999
Introduced
Referred to the Committee on the Judiciary, and in addition to the Committee on Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Source: IntroReferral
25 June 1999
Introduced
Sponsor introductory remarks on measure. (CR E1411)
Source: IntroReferral
25 June 1999
Introduced
Introduced in House
Source: IntroReferral
25 June 1999
Introduced
Introduced in House
Source: IntroReferral
13 July 1999
Referred
Referred to the Subcommittee on Telecommunications, Trade, and Consumer Protection.
Source: Committee
29 September 1999
Committee
Committee Hearings Held.
Source: Committee
19 October 1999
Committee
Committee Consideration and Mark-up Session Held.
Source: Committee
2 November 1999
Committee
Committee Consideration and Mark-up Session Held.
Source: Committee
1 February 2000
Reported
Ordered to be Reported (Amended) by Voice Vote.
Source: Committee
1 February 2000
Committee
Committee Consideration and Mark-up Session Held.
Source: Committee
7 February 2000
Introduced
House Committee on Commerce Granted an extension for further consideration ending not later than Feb. 14, 2000.
Source: IntroReferral
7 February 2000
Reported
Reported (Amended) by the Committee on Judiciary. H. Rept. 106-494, Part I.
Source: Committee
7 February 2000
Reported
Reported (Amended) by the Committee on Judiciary. H. Rept. 106-494, Part I.
Source: Committee
14 February 2000
Calendars
Placed on the Union Calendar, Calendar No. 278.
Source: Calendars
14 February 2000
Discharge
Committee on Commerce discharged.
Source: Discharge
14 February 2000
Committee
Committee on Commerce discharged.
Source: Committee
15 February 2000
Reported
Rules Committee Resolution H. Res. 423 Reported to House. Rule provides for consideration of H.R. 2366 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. It shall be in order to consider as an original bill for the purpose of amendment under the five-minute rule the amendment in the nature of a substitute recommended by the Committee on the Judiciary now printed in the bill. Measure will be considered read. Specified amendments are in order.
Source: Floor
16 February 2000
Floor
The Speaker designated the Honorable Mac Thornberry to act as Chairman of the Committee.
Source: Floor
16 February 2000
Vote
On passage Passed by recorded vote: 221 - 193 (Roll no. 25).
Source: Floor
16 February 2000
Passed
Motion to reconsider laid on the table Agreed to without objection.
Source: Floor
16 February 2000
Vote
Passed/agreed to in House: On passage Passed by recorded vote: 221 - 193 (Roll no. 25).
Source: Floor
16 February 2000
Passed
The House adopted the amendment in the nature of a substitute as agreed to by the Committee of the Whole House on the state of the Union. (text: CR H474-476)
Source: Floor
16 February 2000
Floor
The previous question was ordered pursuant to the rule.
Source: Floor
16 February 2000
Floor
The House rose from the Committee of the Whole House on the state of the Union to report H.R. 2366.
Source: Floor
16 February 2000
Floor
Rule provides for consideration of H.R. 2366 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. It shall be in order to consider as an original bill for the purpose of amendment under the five-minute rule the amendment in the nature of a substitute recommended by the Committee on the Judiciary now printed in the bill. Measure will be considered read. Specified amendments are in order.
Source: Floor
16 February 2000
Floor
House resolved itself into the Committee of the Whole House on the state of the Union pursuant to H. Res. 423 and Rule XXIII.
Source: Floor
16 February 2000
Floor
Considered under the provisions of rule H. Res. 423. (consideration: CR H463-485)
Source: Floor
16 February 2000
Passed
Rule H. Res. 423 passed House.
Source: Floor
22 February 2000
Introduced
Received in the Senate.
Source: IntroReferral
27 March 2000
Calendars
Received in the Senate. Read the first time. Placed on Senate Legislative Calendar under Read the First Time.
Source: Calendars
28 March 2000
Calendars
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 476.
Source: Calendars
Votes
No vote records are attached yet.
Versions
- Placed on Calendar Senate · 28 March 2000 · Download file
- Engrossed in House · 16 February 2000 · Download file
- Committee Discharged House · 14 February 2000 · Download file
- Reported in House · 7 February 2000 · Download file
- Introduced in House · 25 June 1999 · Download file
Documents
13 official files
Placed on Calendar Senate (text)
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Placed on Calendar Senate (text)
Placed on Calendar Senate · EN · 28 March 2000
Placed on Calendar Senate (PDF)
Placed on Calendar Senate · EN · 28 March 2000
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Engrossed in House (text)
Engrossed in House · EN · 16 February 2000
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Engrossed in House (PDF)
Engrossed in House · EN · 16 February 2000
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Passed House amended
summary · EN · 16 February 2000
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Committee Discharged House (text)
Committee Discharged House · EN · 14 February 2000
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Committee Discharged House (PDF)
Committee Discharged House · EN · 14 February 2000
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Reported in House (text)
Reported in House · EN · 7 February 2000
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Reported in House (PDF)
Reported in House · EN · 7 February 2000
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Reported to House amended, Part I
summary · EN · 7 February 2000
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Introduced in House (text)
Introduced in House · EN · 25 June 1999
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Introduced in House (PDF)
Introduced in House · EN · 25 June 1999
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Introduced in House
summary · EN · 25 June 1999
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Sponsors
- Rep. Rogan, James E. [R-CA-27] · R · Sponsor
- Rep. Holden, Tim [D-PA-17] · D · Sponsor
- Sen. Burr, Richard [R-NC] · R · Sponsor
- Rep. Moran, James P. [D-VA-8] · D · Sponsor
- Rep. Nussle, Jim [R-IA-2] · R · Cosponsor
- Rep. Baker, Richard H. [R-LA-6] · R · Cosponsor
- Rep. Cunningham, Randy (Duke) [R-CA-50] · R · Cosponsor
- Sen. DeMint, Jim [R-SC] · R · Cosponsor
- Rep. Lewis, Jerry [R-CA-41] · R · Cosponsor
- Rep. Weldon, Dave [R-FL-15] · R · Cosponsor
- Rep. Ryun, Jim [R-KS-2] · R · Cosponsor
- Rep. Pitts, Joseph R. [R-PA-16] · R · Cosponsor
- Sen. Talent, Jim [R-MO] · R · Cosponsor
- Rep. Hill, Rick [R-MT-At Large] · R · Cosponsor
- Rep. Pryce, Deborah [R-OH-15] · R · Cosponsor
- Rep. Hobson, David L. [R-OH-7] · R · Cosponsor
- Rep. Goode, Virgil H., Jr. [R-VA-5] · D · Cosponsor
- Rep. McCollum, Bill [R-FL-8] · R · Cosponsor
- Rep. Cannon, Chris [R-UT-3] · R · Cosponsor
- Rep. Condit, Gary A. [D-CA-18] · D · Cosponsor
- Sen. Vitter, David [R-LA] · R · Cosponsor
- Rep. Smith, Lamar [R-TX-21] · R · Cosponsor
- Rep. Combest, Larry [R-TX-19] · R · Cosponsor
- Rep. Northup, Anne M. [R-KY-3] · R · Cosponsor
- Rep. Watkins, Wes [R-OK-3] · R · Cosponsor
- Rep. Stump, Bob [R-AZ-3] · R · Cosponsor
- Rep. Davis, Tom [R-VA-11] · R · Cosponsor
- Rep. Whitfield, Ed [R-KY-1] · R · Cosponsor
- Rep. Chabot, Steve [R-OH-1] · R · Cosponsor
- Rep. Tancredo, Thomas G. [R-CO-6] · R · Cosponsor
- Rep. Watts, J. C., Jr. [R-OK-4] · R · Cosponsor
- Rep. Myrick, Sue Wilkins [R-NC-9] · R · Cosponsor
- Rep. Goodlatte, Bob [R-VA-6] · R · Cosponsor
- · hsif00 · Standing
- · hsju00 · Standing
Related records
- related to → Providing for consideration of the bill (H.R. 2366) to provide small businesses certain protections from litigation excesses and to limit the product liability of nonmanufacturer product sellers.
- related to ← Small Business Liability Reform Act of 1999
- amends ← An amendment numbered 2 printed in House report 106-498 to clarify that the term "punitive damages" does not include civil penalties, civil fines, or treble damages assessed or enforced by a government agency under federal or state statute.
- amends ← An amendment numbered 1 printed in House report 106-498 to permit a court to exceed the $250,000 cap on punitive damages if it finds by clear and convincing evidence that the defendant acted with specific intent to cause the type of harm for which the action was brought.
- amends ← An amendment numbered 3 printed in House report 106-498 to eliminate a provision in the bill that bars federal court jurisdiction over claims relating to interference with interstate commerce and antitrust.
- amends ← An amendment numbered 4 printed in House report 106-498 to 1) modify the definition of "small business" to include businesses that had revenues in each of the last two years of $5 million or less; 2) apply the bill's product liability protections only to small business retailers; 3) apply the bill's cap on punitive damages only to cases related to product liability; 4) revise the bill's definition of "hate crimes" to mean "a crime in which the defendant intentionally selects a victim because of the actual or perceived race, color, religion, national origin, ethnicity, gender, disability, or sexual orientation of any person"; and 5) allow states to opt out of the federal cap on punitive damages and product liability protections through legislation or voter initiative.
Sources
PoliticalRepo is an index and interpretation layer, not the authoritative legal source.
- Official source: https://www.congress.gov/bill/106th-congress/house-bill/2366
- Open data entity: https://api.congress.gov/v3/bill/106/hr/2366
- us · 106-hr-2366 · source updated 7 April 2025