Tort Reform is Needed

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Tort reform, something neither political party has seriously addressed, even though the cost of frivolous lawsuits has outraged us all. neo-liberals/democrats, especially, have been in the pockets of trial lawyers for years.

Many of us don’t really think about tort reform, but there’s a reason why law firms spend millions creating radio and TV ads asking us to file lawsuits: They stuff the wallets of lawyers and their clients. We’re all human, and it’s easy to sympathize with people who’ve been injured or wronged, but tort is a slippery slope, and too many people have abused the system for monetary gain or publicity. The tipping point may have been the infamous 1994 case in which a woman sued McDonald’s because she spilled hot coffee on herself. Since then, people have cashed in on their own clumsy mistakes or on happenstance. Other examples include people suing Jelly Belly for listing evaporated cane juice instead of sugar in the ingredients, Junior Mints for not filling the box to the brim, and starbucks for putting too much ice in a coffee.

Sadly, left-wing/democrats don’t think there’s any such thing as a frivolous lawsuit, and they’ll back any effort to take power and money away from companies. In their minds, Big Business is always in the wrong. It’s no wonder that Republicans see tort reform as a winning issue in Senate battleground states where people have grown weary of outlandish lawsuits that raise the cost of goods and services, spike insurance premiums, and create a culture of irresponsibility. Ramsey Touchberry makes the case: “The contentious legal issue is a long-standing priority among Republican elected officials... based on the premise that predominantly left-leaning lawyers abuse class-action and other civil lawsuits against companies for harm or injury.”

Tort reform has a far-reaching impact on our country, and while Republicans need to make this a national issue, it’s the states where we’re making inroads against frivolous lawsuits. “Governors and state lawmakers spend a lot of time focusing on legislation that will improve tax and regulatory climates, understandably so,” writes Patrick Gleason. “But — as is now on display in Georgia, South Carolina, Texas, and elsewhere — governors and lawmakers are also focused on the ways in which their state’s legal climate is another significant driver of the cost of living and doing business, which is why tort reform is now being debated in some of the largest and fastest-growing states.”

Tort reform has already been approved in Georgia(1), and other states considering similar measures include South Carolina, Arkansas, and Texas. The South Carolina Senate recently passed a tort reform bill that seeks to remedy rising costs in the food and beverage industry’s liquor liability insurance. In Arkansas, a new law will eliminate what is known as “phantom” medical charges in which plaintiffs could sue for a full amount even if a medical provider later reduces the bill. Several industries, including trucking, support a renewed effort to pass tort reform in Texas. A report by Citizens Against Lawsuit Abuse released a study just this month showing that Texas residents pay a “lawsuit tax” of $1,725 per year due to higher costs for consumer goods.

Critics of tort reform claim victims will no longer be compensated for damages, but none of the state measures under consideration or recently passed into law prevents lawsuits against companies. They merely limit damages to what is fair and reasonable. After tort reform, injured parties may still file lawsuits and companies will be liable for damages, but we’ll have a more just system. And maybe more people will hold onto that hot cup of coffee in the drive-thru instead of taking advantage of a system that punished companies but hurt everyone else in the process.

1. The U.S. Chamber of Commerce said the Georgia bill will: “create a fairer legal system that protects businesses, consumers, and communities.” And the Savannah Morning News reports that “supporters of Senate Bill 68 argued tort reform is needed in Georgia to reverse a pattern of excessive jury awards in civil lawsuits they said are driving up liability insurance premiums, making it harder for the small businesses that are the state’s economic mainstay to grow and create jobs.”