ATLANTA --- Georgia's top court unanimously struck down a state law Monday that set a $350,000 limit on jury awards for pain and suffering in medical malpractice cases, overturning the cornerstone of a sweeping 2005 law that divided patients' advocates and medical groups.
The Georgia Supreme Court's 7-0 ruling concluded that the cap violated the right to a jury trial because it "clearly nullifies the jury's findings of fact regarding damages and thereby undermines the jury's basic function," Chief Justice Carol Hunstein wrote in the opinion.
The limits, which did not cap jury awards for past and future medical expenses, were the centerpiece of a legislative package that was adopted after Republicans gained control of the House. The overhaul also set tougher standards for expert witnesses in malpractice trials and gave new incentives for patients to settle out of court.
It was among the most contentious proposals debated under the Gold Dome in recent years, with doctors and medical associations contending that the measures would curb malpractice insurance rates and discourage patients from bogging down the legal system with frivolous claims.
The changes were opposed by trial lawyers and patient advocacy groups who argued that limiting damage awards put an arbitrary price on a victim's life and would effectively bar some victims from the courthouse because it makes it harder to find a lawyer willing to take the case.
The court's ruling centered on a case involving Betsy Nestlehutt, a 71-year-old who was awarded $1.15 million in non-economic damages -- including $900,000 in pain and suffering -- by a Fulton County jury after she was permanently disfigured after a botched facelift.
Atlanta Oculoplastic Surgery, which performed the procedure, appealed the jury awards on grounds that it violated the 2005 law.
A state court judge then declared the cap unconstitutional, setting the stage for the 22-page ruling by the state's top court.
It will likely herald a flurry of new litigation, as the court said the ruling applied retroactively to all other pending medical-malpractice cases, including those that are now in the appeals process.
Republican lawmakers who made the legislation among their top priorities said they were disappointed. State. Sen. Judson Hill said House and Senate leaders would meet to develop a "game plan" but it was unclear what they would be able to do in the 12 remaining days left in the legislative session.
Consumer advocacy groups sent out celebratory press releases. They have made the measure one of their top targets since it was signed into law by Gov. Sonny Perdue in February 2005.
"The decision favors the protection of patients and their constitutional rights," said Danny Orrock of Georgia Watch, a consumer watchdog group.
The decision comes a week after a divided Georgia Supreme Court upheld other parts of the medical malpractice changes.
One ruling affirmed a provision that made it more difficult for patients to win medical malpractice cases involving emergency health care providers. The second upheld a provision that allowed one side in a lawsuit to pay the other side's legal fees.
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