Lawmaker sought to curb abuse payouts -- then backed off toughest language

As local governments face a tsunami of childhood sexual abuse claims--such as those that led to Los Angeles County's landmark $4 billion settlement with abuse survivors last week--state lawmakers are advancing a bill to make it harder for victims to make their case in court.

The controversial measure, SB 832, remains in flux. As it appeared in its current form online Wednesday the text required that plaintiffs' claims must be supported by corroborating evidence beyond the victim's sole testimony. The evidence must reach a "clear and convincing" standard, a level of proof that represents a higher hurdle than the current "preponderance of the evidence" requirement.

After an outcry from the plaintiff bar, the bill's sponsor said in an interview Wednesday he would eliminate the language that required plaintiffs to furnish corroborating or extrinsic evidence that they'd been abused. 

"I was incredulous" at that language, said plaintiff lawyer Boris Treyzon, an ACTS Law LLP partner who said he has handled more than a thousand case that are part of the L.A. County settlement. "These sexual abuse acts are done in hiding. What can be extrinsic evidence, unless you have video? It's an impossible standard. I can't imagine any case that survives this kind of scrutiny. I understand the intent of this bill, but this is not the way. The way is to prevent this from happening in the first place."

The bill was introduced on Feb. 21 by Sen. Benjamin J.B. Allen, a Los Angeles Democrat who represents the 24th Senate District, covering the Westside, Hollywood, the South Bay and Santa Monica Mountains communities. "SB 832 will help local public entities address the fiscal crisis they are facing as a result of large dollar settlements and judgments," he said in a fact sheet accompanying the bill.

In the interview, Allen added that he'd decided to amend the bill after a Tuesday meeting with a delegation from the Consumer Attorneys of California lobby, including its president, Geoffrey S. Wells of Greene Broillet & Wheeler LLP. 

"We're dropping the corroborating evidence requirement," he said. "That was not something I wanted to go forward with. I have instructed counsel to change the language."

A hearing on the bill is set for April 22 before the Senate Judiciary Committee. "We've scaled back some, made some amendments, given the plaintiff bar's suggestions," Allen said. "We want to land this in a way that makes people feel comfortable. I think we'll get some meaningful legislation."

On Wednesday, the draft bill had several additional provisions. It extends the timeline public entities have to pay damages judgments by calling for an initial 25 percent upfront payment and the rest over 20 years. It extends the time schools have to repay emergency apportionment loans to 30 years. And it boosts schools' credit ratings by linking them to the California School Finance Authority.

Allen said that he'd been motivated to introduce the legislation by his experience with the draining of public coffers by large adverse personal injury judgments. "I've seen local entities impacted by these lawsuits with enormous new liabilities."

Before he was elected to the Legislature, Allen served as president of the Santa Monica-Malibu Unified School District's board of education. "These liabilities actually forced cutbacks in some significant community projects," he said. "The problem is how to make sure these victims are compensated in a fair and reasonable way that doesn't bankrupt our counties."

Nancy Peverini, the CAOC's legislative director, said her group continues to oppose SB 832 because it would "drastically and detrimentally impact the legitimate rights of abused victims." 

Peverini added: "We are continuing to meet with Senator Allen and other stakeholders as we seek balance on this important issue. Protecting the legal rights of sexual assault victims while also considering the legitimate concerns raised by public entities following the enactment of the 'look-back' statute, which extended the statute of limitations for these cases, is critical."

Allen's SB 832 fact sheet notes an estimate from the state's financial crisis team that local educational agencies face judgments and settlements worth $2 billion to $3 billion. The $4 billion Los Angeles County settlement was $1 billion larger than originally projected, the fact sheet said.