LRB-3666/1
ARG:bjk:md
2009 - 2010 LEGISLATURE
January 25, 2010 - Introduced by Law Revision Committee. Referred to Committee
on Transportation, Tourism, Forestry, and Natural Resources.
SB486,1,4
1An Act to amend 344.14 (2) (h) and 344.18 (1) (b) of the statutes;
relating to:
2the liability release exception to the requirement that proof of financial
3responsibility be provided after a motor vehicle accident (suggested as remedial
4legislation by the Department of Transportation).
Analysis by the Legislative Reference Bureau
Under current law, if a motor vehicle accident results in injury, death, or
property damage of $1,000 or more, the Department of Transportation (DOT) is
required to notify the operator and owner of the vehicle involved in the accident that
the person must deposit with DOT security for the accident in an amount specified
by DOT, which DOT has determined is sufficient to satisfy any judgment for damages
resulting from the accident. Unless an exception applies, if a person fails to timely
deposit security after this notice is given, DOT must suspend the person's operating
privilege if the person was the vehicle operator and suspend all vehicle registrations
of the person if the person was the vehicle owner, and DOT may also order certain
vehicles impounded. Under one exception, security is not required to be deposited
if the person can provide proof of financial responsibility (including that an
applicable motor vehicle liability insurance policy or bond was in effect at the time
of the accident providing certain minimum amounts of coverage). Under another
exception, security is not required to be deposited if, prior to suspension of the
person's operating privilege or vehicle registration, satisfactory evidence is filed with
DOT that the person has been released from liability, has been adjudicated as not
liable, or has executed an agreement to pay an agreed amount of damages to settle
all claims. DOT may accept a liability release executed by a parent as natural
guardian on behalf of a minor child only if the total damages do not exceed $5,000
and a doctor certifies that the minor received no permanent injury.
Under this bill, DOT may, without limitation, accept a liability release executed
by a parent as natural guardian or by a guardian ad litem on behalf of a minor child.
For further information, see the Notes provided by the Law Revision
Committee of the Joint Legislative Council.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
Law Revision Committee prefatory note: This bill is a remedial legislation
proposal, requested by the Department of Transportation and introduced by the Law
Revision Committee under s. 13.83 (1) (c) 4. and 5., stats. After careful consideration of
the various provisions of the bill, the Law Revision Committee has determined that this
bill makes minor substantive changes in the statutes, and that these changes are
desirable as a matter of public policy.
SB486, s. 1
1Section
1. 344.14 (2) (h) of the statutes is amended to read:
SB486,2,152
344.14
(2) (h) To any person who would otherwise have to deposit security if,
3prior to the date the secretary would otherwise suspend the person's operating
4privilege and registrations under sub. (1) or order the impoundment of the motor
5vehicle under sub. (1m), there is filed with the secretary evidence satisfactory to the
6secretary that the person has been released from liability or has been finally
7adjudicated not to be liable or has executed a duly acknowledged written agreement
8providing for the payment of an agreed amount in installments with respect to all
9claims for injuries or damage resulting from the accident. The secretary may accept
10a release from liability executed by a parent as natural guardian
or by a guardian
11ad litem on behalf of a minor child with respect to property damage or personal
12injuries sustained by the minor
, provided that the total damages, including the cost
13of medical care, do not exceed $5,000 and that, in case of personal injury, the doctor's
14certificate of injury filed with the department certifies that the minor received no
15permanent injury.
Note: This statute, s. 341.14 (2) (h), allows the Department of Transportation to
accept a release of liability executed by a parent as natural guardian on behalf of a minor
child with respect to property damage or personal injuries sustained by the minor,
provided that the total damages, including the cost of medical care, do not exceed $5,000
and that, in case of personal injury, the doctor's certificate of injury filed with the
department certifies that the minor received no permanent injury. This must be done
before the department can accept the settlement and allow the uninsured at-fault party
to reinstate their driving and vehicle registration privileges. This
Section amends the
statute to remove the $5,000 limits and allows the department to accept the release from
a parent as natural guardian, or a guardian ad litem.
SB486, s. 2
1Section
2. 344.18 (1) (b) of the statutes is amended to read:
SB486,3,72
344.18
(1) (b) There is filed with the secretary evidence satisfactory to the
3secretary that the person whose operating privilege or registration was suspended
4or revoked has been released from liability or has been finally adjudicated not to be
5liable. The secretary may accept a release executed by a parent on behalf of a minor
6child only
if the release satisfies the requirements specified in as provided under s.
7344.14 (2) (h).
SB486,3,109
(1) This act first applies with respect to accidents occurring on the effective date
10of this subsection.
