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North Carolina Court Upholds Strict Cap on Medical Liability Payouts

A $7.5M verdict was cut to $656K—now North Carolina’s medical liability cap stands stronger than ever. What this means for future lawsuits.

A woman is holding certificate, where men are standing wearing suit.
A woman is holding certificate, where men are standing wearing suit.

North Carolina Court Upholds Strict Cap on Medical Liability Payouts

A North Carolina court has upheld a long-standing limit on medical liability payouts. The ruling came after a plaintiff’s multi-million-dollar award was slashed to just over $650,000. Legal observers have noted the decision as a significant affirmation of state law over judicial discretion.

The case, known as Mohebali v. Hayes, began in 2019 when a plaintiff secured a $7.5 million jury award for noneconomic damages. Under North Carolina’s 2011 statute, however, such awards cannot exceed $656,730. The trial judge reduced the payout to match the legal cap, prompting an appeal.

The appellate ruling keeps North Carolina’s $656,730 cap on noneconomic medical damages firmly in place. Plaintiffs in similar cases will now face the same statutory limit on awards. Legal analysts expect the decision to influence future disputes over damages in the state.

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