Under current law, judges are not required to establish a deadline for parties to respond to a conditional order for a new trial.  This issue arises when a party to civil litigation requests a new trial because it feels the jury has returned an inadequate or excessive damage award.  A judge may grant the order, but condition it upon acceptance or rejection of a modified award.  If the judge does not voluntarily include a deadline for a response within the conditional order, one party can unnecessarily delay resolution of a dispute and/or the commencement of a new trial. 

AB 1403 provides clarity in this area, and will expedite resolution of legal disputes by establishing a default deadline in the absence of one set by the judge.  Specifically, Section 2 of the bill proposes to amend the Code of Civil Procedure, Section 662.5, to establish a default deadline of 30 days for a party to respond to a conditional order for a new trial, should the judge fail to set a deadline in the order.

In addition, the section would make clear that a failure to respond by the deadline will be deemed a rejection of the offer, triggering a new trial on the issue of damages.

By establishing a 30-day deadline to respond, AB 1403 ensures that these matters will be dealt with expeditiously, and that the opposing party will have time to appeal, if they so choose, once the conditional offer has been accepted or rejected.

AB 1403 will create certainty and encourage efficiency in this area of civil litigation, saving the courts and litigants valuable time and money.