MS HB1240

Amends Section 71-3-71 of Mississippi Code to allow deduction of any percentage of fault attributable to the employer from net proceeds recovered in third-party lawsuits by injured employees or their dependents.

Requires the court (or commission in case of settlement without suit) to determine and deduct the percentage of fault attributable to the employer for the proximate cause of injuries and damages before calculating the employer's repayment from recovery proceeds.

Applies the fault deduction to both scenarios: when the employer or insurer joins in the employee's action against a third party, and when the employee or dependents bring suit independently against a third party.

Maintains existing provisions requiring reasonable notice to the employer/insurer of third-party lawsuits and approval of settlements by the court or commission.

Takes effect July 1, 2015.