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House committee hears bill to expand voluntary payments to cover contract and warranty claims
Summary
Representative Steve Fitzpatrick told the House Business and Labor Committee a bill would let defendants make advance payments for any type of claim without admitting liability, while preserving exceptions for bad-faith insurance actions and attorney-fee claims.
Representative Steve Fitzpatrick introduced House Bill 3 24 on behalf of the House Business and Labor Committee to expand Montana’s voluntary-payment protections so they apply to a wider set of claims, including breach of contract and warranty claims.
The bill would allow a person or insurer to make an advance payment on parts of a claim — for example, medical bills or lost wages — before the overall claim or lawsuit is resolved. Representative Fitzpatrick said the payment “is not an admission that you are actually liable,” and described the tool as a way to get money to injured people while…
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