TOBACCO SETTLEMENT ACT - LIMITS ON SUPERSEDEAS BOND REQUIREMENTS
                  Act of Dec. 30, 2003, P.L. 383, No. 55              Cl. 35
                             Session of 2003
                               No. 2003-55

     HB 1718

                                  AN ACT

     Amending the act of June 26, 2001 (P.L.755, No.77), entitled "An
        act establishing a special fund and account for money
        received by the Commonwealth from the Master Settlement
        Agreement with tobacco manufacturers; providing for home and
        community-based care, for tobacco use prevention and
        cessation efforts, for Commonwealth universal research
        enhancement, for hospital uncompensated care, for health
        investment insurance, for medical assistance for workers with
        disabilities, for regional biotechnology research centers,
        for the HealthLink Program, for community-based health care
        assistance programs, for PACE reinstatement and PACENET
        expansion, for medical education loan assistance and for
        percentage allocation and appropriation of moneys," imposing
        limitations on supersedeas bond requirements.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

        Section 1.  The act of June 26, 2001 (P.L.755, No.77), known
     as the Tobacco Settlement Act, is amended by adding a section to
     read:
      Section 309.  Limits on supersedeas bond requirements.
        (a)  General rule.--Except as otherwise provided in
     subsection (b), in civil litigation under any legal theory
     involving a signatory, a successor of a signatory or an
     affiliate of a signatory to the Master Settlement Agreement, the
     supersedeas bond to be furnished during the pendency of all
     appeals or discretionary reviews of any judgment granting legal,
     equitable or any other form of relief in order to stay the
     execution thereon during the entire course of any appellate
     reviews shall be set in accordance with applicable laws or court
     rules, provided that the total supersedeas bond that is required
     of all appellants collectively shall not exceed $100,000,000,
     regardless of the value of the judgment.
        (b)  Exception.--Notwithstanding subsection (a), if an
     appellee proves by a preponderance of the evidence that an
     appellant is dissipating assets outside the ordinary course of
     business to avoid payment of a judgment, the court may enter an
     order that:
            (1)  Is necessary to protect the appellee.
            (2)  Requires the appellant to post a supersedeas bond in
        an amount up to the total amount of the judgment.
        Section 2.  This act shall apply to any action pending on the
     effective date of this act.
        Section 3.  This act shall take effect immediately.

     APPROVED--The 30th day of December, A. D. 2003.

     EDWARD G. RENDELL