Fair Calculations in Civil Damages Act of 2025
The Fair Calculations in Civil Damages Act of 2025 aims to reform how courts calculate damages for lost future earnings in federal civil cases. The core prohibition is that courts may not award damages using calculations that depend on a plaintiff’s actual or perceived race, ethnicity, or sex (including gender identity, sexual orientation, and sex characteristics). To implement this, the bill requires the development of inclusive future-earnings tables that exclude bias from protected characteristics, and it directs federal agencies to guide both federal courts and states in using bias-free methods. The act also mandates studies and reporting on damages practices and provides for training of judges on applying these rules. Importantly, it does not bar damages tied to a plaintiff’s protected class under federal civil rights laws; it merely restricts how future-earnings calculations are conducted.
Key Points
- 1Prohibition on future-earnings calculations: Courts may not award damages for projected future earnings if the calculation takes into account a plaintiff’s race, ethnicity, or sex (including gender identity, sexual orientation, and sex characteristics).
- 2Definitions: The bill defines “future earnings table” as any data used to project future work years or average future wages, and “protected class” as groups protected against discrimination.
- 3Inclusive future earnings tables: Within 180 days of enactment, the Secretary of Labor must issue guidance to forensic economists to develop tables that do not rely on race, ethnicity, or sex, and the Secretary of Labor and the Attorney General must guide states on bias-free future-earnings calculations in state tort proceedings.
- 4Studies and reporting: The Judicial Conference must study damages in federal personal-injury cases (and related data by case type and protected classes) within 1 year and report to Congress within 18 months. The Administrative Office of the United States Courts must study how to handle age and disability in earning-potential calculations in a way compatible with equal protection laws.
- 5Training: The Federal Judicial Center must train federal judges on implementing this Act and using compliant future-earnings tables.