NORTH CAROLINA GENERAL ASSEMBLY

1967 SESSION

 

 

CHAPTER 662

SENATE BILL 180

 

 

AN ACT TO PROVIDE THAT SETTLEMENT OF PROPERTY DAMAGE CLAIMS ARISING OUT OF MOTOR VEHICLE COLLISIONS SHALL NOT CONSTITUTE AN ADMISSION OF LIABILITY BY THE PERSON MAKING SUCH SETTLEMENT OR BY THE INSURANCE CARRIER AND TO PROVIDE THAT ACCEPTANCE OF SUCH SETTLEMENT BY AN INJURED PARTY SHALL NOT CONSTITUTE A RELEASE OR BAR OF FURTHER CLAIMS FOR BODILY INJURY OR DEATH.

 

The General Assembly of North Carolina do enact:

 

Section 1.  Article 44 of Chapter 1 of the General Statutes of North Carolina is hereby amended by inserting after the present Section 1-540.1 a new Section to be designated as Section 1-540.2 to read as follows:

"§ 1-540.2.  Settlement of Property Damage Claims; Same not to Constitute Admission of Liability, nor Bar Party Seeking Damages for Bodily Injury or Death. In any claim, civil action, or potential civil action which arises out of a motor vehicle collision or accident, settlement of any property damage claim arising from such collision or accident, whether such settlement be made by an individual, a self insurer, or by an insurance carrier under a policy of insurance, shall not constitute an admission of liability on the part of the person, self insurer or insurance carrier making such settlement, which arises out of the same motor vehicle collision or accident. It shall be incompetent for any claimant or party plaintiff in the said civil action to offer into evidence, either by oral testimony or paper writing, the fact that a settlement of the property damage claim arising from such collision or accident has been made; provided further, that settlement made of such property damage claim arising out of a motor vehicle collision or accident shall not in and of itself act as a bar, release, accord and satisfaction, or discharge of any claims other than the property damage claim, unless by the written terms of a properly executed settlement agreement it is specifically stated that the acceptance of said settlement constitutes full settlement of all claims and causes of action arising out of the said motor vehicle collision or accident."

Sec. 2.  All laws and clauses of laws in conflict with this Act are hereby repealed.

Sec. 3.  This Act shall become effective July 1, 1967, and shall apply to claims and causes of action arising after said date.

In the General Assembly read three times and ratified, this the 2nd day of June, 1967.