Bill H.427, introduced by Representative Galfetti, seeks to reform medical malpractice actions in Vermont by implementing caps on recoverable damages and establishing pretrial screening panels for medical malpractice claims. The proposed legislation limits damages for pain and suffering or other noneconomic losses to $250,000 per claimant when the defendant is a natural person, and to $500,000 per claimant and $250,000 per defendant when the defendant is not a natural person. Additionally, wrongful death damages are capped at $500,000 per claimant, while punitive damages are limited to $200,000 or twice the total of economic and noneconomic losses, whichever is greater.

The bill also introduces a new chapter detailing the formation and procedures for pretrial screening panels aimed at expediting the resolution of medical injury claims. These panels will consist of a chair selected by the Chief Justice and additional members from lists of healthcare practitioners and attorneys. Key provisions include the requirement for consistent panel attendance at hearings, maintaining a confidential electronically recorded record, and the chair's role in mediating differences. The bill mandates that panel findings be communicated to the parties within seven days and preserved until 30 days after the final judgment, while also ensuring confidentiality for panel proceedings with certain exceptions. The act is scheduled to take effect on July 1, 2025.