California’s ‘Death Discount’ Returns: Impact on Wrongful Death Litigation

California’s ‘Death Discount’ Returns: Impact on Wrongful Death Litigation

Losing a loved one is an indescribable pain, and when that loss is due to someone else’s negligence, the legal process can feel overwhelming. In California, the concept of the “Death Discount” is returning, significantly impacting wrongful death litigation. Understanding this legal principle is crucial for anyone who has lost a loved one due to another’s wrongful act. Did you know that wrongful death lawsuits in California can be worth millions, with juries awarding up to $3 million per person killed? However, the specifics of each case, including the age of the deceased, the number of dependents, and the circumstances surrounding the death, greatly influence the final settlement.

What is California’s ‘Death Discount’?

The term “Death Discount” refers to how a person’s death can affect the damages recoverable in a lawsuit. In California, this primarily concerns the ability to claim damages for a deceased person’s pain and suffering in a survival action, which is often pursued alongside a wrongful death claim.

Survival Actions vs. Wrongful Death Claims

It’s important to distinguish between survival actions and wrongful death claims:

  • Survival Action: This type of claim allows the deceased person’s estate to pursue a lawsuit for damages the deceased suffered before their death. This can include medical expenses, lost wages, and property damage.
  • Wrongful Death Claim: This claim is brought by the surviving family members (spouse, children, etc.) to recover damages for their own losses resulting from the death of their loved one. This includes financial support, loss of companionship, and other non-economic damages.

The Temporary Window for Pain and Suffering Damages (SB 447)

Senate Bill 447 (SB 447) introduced a temporary four-year window, from January 1, 2022, to January 1, 2026, during which estates could recover non-economic damages for a decedent’s pre-death pain, suffering, or disfigurement in survival actions. This was a significant change, as California law had historically prohibited such recovery.

The Sunset Provision: Return to the Original Rule

As of January 1, 2026, SB 447 will sunset, meaning California law will revert to its original position, barring estates from recovering damages for a decedent’s pain, suffering, or disfigurement in survival actions. This return to the original rule is what we refer to as the “Death Discount” returning.

Impact on Wrongful Death Litigation

The return of the “Death Discount” will have several key impacts on wrongful death litigation in California:

Reduced Potential Recoverable Damages

Without the ability to claim pain and suffering damages in a survival action, the total potential recovery in many wrongful death cases will be reduced. This is particularly true in cases where the deceased suffered significantly before death.

Increased Importance of Wrongful Death Claims

With the limitation on survival action damages, the wrongful death claim itself becomes even more critical. Surviving family members will need to ensure they are maximizing their claims for economic and non-economic damages.

Strategic Considerations for Filing Lawsuits

Attorneys will need to carefully consider the timing of filing lawsuits. For cases where pain and suffering damages are significant, there may be an incentive to file before January 1, 2026, to take advantage of the current law.

Understanding Damages in Wrongful Death Cases

To fully grasp the impact of the “Death Discount,” it’s essential to understand the types of damages available in wrongful death cases:

Economic Damages

These are quantifiable financial losses, including:

  • Lost Earnings: The income the deceased would have earned had they lived.
  • Medical Expenses: Costs of medical treatment related to the deceased’s injury or illness prior to death.
  • Funeral and Burial Costs: Expenses incurred for the funeral and burial services.
  • Loss of Benefits: Health insurance, pension plans, and retirement benefits.
  • Value of Household Services: The cost of replacing services the deceased provided, such as childcare or home maintenance.

Non-Economic Damages

These are intangible losses, which are more subjective and difficult to quantify. In California, these include:

  • Loss of Love, Companionship, and Affection: Compensation for the emotional loss suffered by surviving family members.
  • Loss of Moral Support and Guidance: The loss of the deceased’s advice, support, and training.
  • Loss of Consortium: This refers to the loss of the spousal relationship, including intimacy, companionship, and support. Only a spouse or registered domestic partner can claim loss of consortium.

Punitive Damages

In cases involving egregious negligence or intentional misconduct, punitive damages may be awarded to punish the defendant and deter similar behavior in the future.

Who Can File a Wrongful Death Lawsuit?

California law specifies who can file a wrongful death lawsuit. Generally, the following individuals have the right to bring a claim:

  • The deceased’s surviving spouse or domestic partner
  • The deceased’s children
  • The deceased’s grandchildren (if the deceased’s children are also deceased)
  • Other minor children (such as stepchildren) who depended on the victim for 50% or more of their financial support
  • Any other beneficiaries according to California intestate succession laws

Important Considerations

Statute of Limitations

In California, the statute of limitations for filing a wrongful death lawsuit is generally two years from the date of death. However, there are exceptions, such as in cases of medical malpractice, where the statute of limitations may be one year. Missing the deadline can result in losing the right to compensation.

Comparative Negligence

California operates under a “pure comparative negligence” system. This means that if the deceased was partially at fault for their death, the compensation can be reduced by their percentage of fault.

Medical Malpractice Caps

California has caps on non-economic damages in medical malpractice cases. As of 2023, the cap for wrongful death cases involving medical malpractice is $500,000, increasing annually until it reaches $1 million in 2033.

Navigating Wrongful Death Claims

Wrongful death cases can be complex, especially with the changing legal landscape. Here’s some advice:

  • Seek Legal Guidance: Consult with an experienced wrongful death attorney who can evaluate your case, explain your rights, and guide you through the legal process.
  • Gather Evidence: Collect all relevant documents, including medical records, police reports, and financial records, to support your claim.
  • Act Promptly: Be mindful of the statute of limitations and take action as soon as possible to protect your right to compensation.
  • Understand Your Rights: Familiarize yourself with California’s wrongful death laws and the types of damages you may be entitled to recover.

Conclusion

The return of California’s “Death Discount” will undoubtedly impact wrongful death litigation, potentially reducing the overall value of some cases. However, by understanding the nuances of survival actions, wrongful death claims, and the types of damages available, surviving family members can navigate the legal process effectively and pursue the compensation they deserve. If you have lost a loved one due to someone else’s negligence, seeking legal guidance is crucial to protect your rights and secure a just outcome. Contact our firm today for a consultation.