HomeMy WebLinkAboutR-1987-03
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RESOLUTION NO. 87-3
WHEREAS, cities throughout the State have experienced
dramatic changes in the last several years concerning the
availability, cost, and adequacy of public liability insurance;
and
WHEREAS, such changes have had a profound detrimental impact
on the financial condition of cities and have increased the
burden on their taxpayers; and
WHEREAS, annual increases in the cost of premiums for such
insurance by several hundred percent have become commonplace; and
WHEREAS, such insurance has, in many instances, become
unavailable to Texas cities; and
WHEREAS, a major cause of such insurance crisis is the
explosion of tort liability and damage awards in this State and
throughout the Nation; and
WHEREAS, a trend is occurring which has resulted in an
increase in the amount of and number of court awards based on
factors which are not related to economic loss, including awards
for pain and suffering, and awards of punitive damages; and
WHEREAS, in this year, a Texas Court of Appeals upheld an
award of punitive damages against a municipality, such case being
the first reported case of a Texas Appellate Court uphold~ng an
award of punitive damages against a municipali~y; and
WHEREAS, in this year, the Texas Supreme Court held, for the
first time, that attorneys' fees may be awarded against a
municipality under the Texas Attorneys Fees Statute; and
WHEREAS, the City Council of the City of La Porte finds that
in order to ameliorate the insurance crisis and the financial
burden resulting therefrom, and in order to reduce the frequency
of excessive court awards, which awards both cause and exacerbate
such crisis, it is necessary that the Legislature adopt
legislation for the reform of tort law, and adopt legislation
affecting the kind and amount of damages that may be awarded
against municipalities in Texas.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL
OF THE CITY OF LA PORTE, TEXAS:
That the City Council urges the Members of the Legislature
to adopt legislation for the reform of tort law, and adopt
legislation governing the character and amount of damages that
may be awarded against municipalities in Texas.
PASSED AND APPROVED at La Porte, Texas, this the 23rd day of
March, 1987.
CITY OF LA PORTE
1~h, ~P(~
Norman L. Malone, Mayor
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Resolution No. 87-3, Page 2
ATTEST:
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City Secretary
APPROVED:
ti:4cJ
City Attorney