CA AB35

Restructures attorney contingency fee limits in medical malpractice cases: 25% for pre-litigation settlements, 33% for post-litigation settlements or judgments, with discretion for higher fees upon court motion.

Removes the $250,000 cap on noneconomic damages and establishes new limits of $350,000 for personal injury and $500,000 for wrongful death actions, increasing by $40,000-$50,000 annually for 10 years, then adjusting 2% annually for inflation starting January 1, 2034.

Expands noneconomic damage protections to include health care institutions in addition to health care providers, with separate liability caps for affiliated and unaffiliated defendants.

Increases the minimum judgment threshold for mandatory periodic payments from $50,000 to $250,000 in health care provider actions.

Establishes privilege protections for statements, writings, and benevolent gestures expressing sympathy, regret, or fault made before lawsuit filing, making them inadmissible as evidence of liability in civil, administrative, or regulatory proceedings.