As Introduced

128th General Assembly Regular Session 2009-2010

H. B. No. 427

Representatives Schneider, Sykes 

Cosponsors: Representatives Brown, DeGeeter, Dodd, Domenick, Phillips, Yuko 

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A BILL

To enact section 2315.50 of the Revised Code to

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declare how monetary awards in class actions that

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are not paid over to members of the class are to

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be used.

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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That section 2315.50 of the Revised Code be	5
enacted to read as follows:	6

Sec. 2315.50. (A) This section applies to an action	7
maintained as a class action in which the settlement agreement or	8
judgment includes a monetary award, including compensatory or	9
punitive and exemplary damages, restitution, or any other payment	10
of money due from each defendant to the members of the class.	11

(B) It is the policy of this state, insofar as it is not	12
inconsistent with federal law, that, except as otherwise provided	13
by court order, all unpaid moneys remaining after the	14
distribution to the members of the class of monetary awards in	15
class actions described in division (A) of this section shall be	16
used for charitable public purposes. All of those unpaid moneys	17
shall be distributed to charities, nonprofit organizations, and	18
charitable programs selected in the action and approved by the	19
court. A charity, nonprofit organization, or charitable program	20
must be exempt from federal income taxation under section	21
501(c)(3) of the "Internal Revenue Code of 1986," 26 U.S.C. 1, 100	22
Stat. 2085, as amended in order to qualify as a recipient of the	23
unpaid moneys under this section.	24