Sen. Randy Gordon (D-Bellevue) scored a major legislative victory Monday evening when the Legislature passed a judicial reform bill he prime sponsored to crack down on appellate abuses in civil cases. The bill gained substantial bipartisan support in the concurrence vote and passed 39-8 with 2 excused.

Currently, a person or company losing a case and who is ordered to pay a judgment may be tempted to file an appeal and invest the amount owed in investments earning more interest than the 2 percent interest rate pending judgments currently earn.

Under SB 6764, originally known as the Appellate Congestion Reduction Act, the interest rate on judgments against public agencies remains at 2 percentage points above the 26-week T-bill rate. The interest rate on judgments arising from the tortious conduct of any other individual or entity is 2 percentage points above the prime rate.

“This bill, once signed into law, will discourage defendants from delaying payment on a verdict or judgment against them in order to earn interest in the market,” Gordon said. “No longer will victims be forced to be the bankers for those who injured them. This bill has been carefully worked by various interested parties to target insurance companies who engage in this type of behavior.”

The bill now heads to the governor where it is expected to be signed into law.